Rmi 101 - R150.00 (south African + Pp For Hardcopy)

CONTENTS Building on a century of achievement iii A Remarkable Track Record / Salutations iv Close Collaboration is the Key / Growing the Industry v The Changing Motor Industry Landscape / “What Interesting Times These Were” vi An Exclusive Club of Forward Thinkers vii The Beginning x The Need for the RMI xi Who is the RMI? The Dynamic RMI Executive Team The RMI Associations RMI Centenary Dinners Robert Bosch - An Entrepreneur with a sense of responsibility The Dealer Bank There is More to Midas Go Green ….. Go Willard Nissan – a Global Player with true South African Roots Giving Birth to Tonii AutoZone - Creating Synergy Barloworld - 50 years of Change Bridgestone – nearly 75 years of service in the tyre industry Supplying and Nurturing the South African Automotive Aftermarket Federal-Mogul Aftermarket – Champions of the Industry The Grandmasters in Quality Automotive Parts Supply

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CONTENTS Launch Tech Co Ltd Lazarus Motor Company – The humble acorn grows into a mighty oak Taking Care of our own Striving for Excellence “We Do Things Differently” Toyota Continues to Lead the Way Progress over half a century Automotive Aftermarket Manufacturers Association Promoting World Class Competencies Achieving Maximum Productivity Thermal Management Comes of Age The Power of Three Life Begins at 40 Tri-Nation Alliance Castor Oil Started the Castrol Success Story Clear Vision Ahead From F Hoppert to Diesel-Electric 103 Years Service to South Africa Leaders in Ignition Engineering Formidable Combination of Drive, Innovation and Skills Econometrix - Road Maps for Future Business Equipment that keeps us Moving Forward Ferobrake: More than a Century of Service Getting Exided About Batteries Focused on Commitment, Dedicated to Excellence A Head Above the Rest As Much a Part of SA Culture as Braaivleis and Sunny Skies Support and Service for Durban’s Harley Owners Henkel – a Brand like a Friend The Royal Seal To the World with Perfection McCarthy – a Major Player with a Proud History MISA : The Trade Union of Choice Permatex – 100 Years of Innovation and Leadership in Chemical Tools A History of Exceptional Service to the South African Auto Industry The Prufe of the Pudding Tenneco on Top of the World Timken Celebrates 77 Years in South Africa The Fusion of Passion and Excellence Making Traxx In Safe Hands RAM Belts & Hoses - Standing the Test of Time Z is for Zoom!

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51 53 55 57 59 61 63 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99

Index

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RMI Code of Conduct and RMI Objectives

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MESSAGE FROM THE CEO

Building on a century of achievement The RMI has achieved much in its one hundred and one years’ existence. It is not easy to unify a diverse conglomeration of automotive industries and personalities, particularly in an industry that has had more than its fair share of larger than life characters and a wide range of ambitions and egos. However, the RMI has managed to achieve the practically impossible with very little exception over its rich and storied history, delivering on its vision of service, quality and professionalism. This is indeed an indication of the quality of its founders and the successive torch bearers. Our mission today and in the future is to extend and elevate these aspirations to the highest levels amongst our members, and to broaden this dynamic reach to all corners of South Africa and to all segments of our society, from the multinational manufacturers, importers, distributors and dealers, government and big business, right down to the customers and consumers who have sustained our industry for a century, and will continue to sustain these valuable service providers for many years to come.

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s I write this, I reflect on how the industry has recently gone through a traumatic period, facing economic challenges in extent not experienced before. The last year has seen significant consolidation and rationalisation among dealerships and networks, as the industry has girded its loins and looked for ways to weather the crisis, with a commitment to come out of the crisis stronger and in a better position to weather future shocks. The good news is that the economy is starting to recover, and the RMI has played a role in ameliorating the situation by researching all aspects pertaining to turbulent economic and market conditions, and by providing practical advice for workable solutions to its members. We also realise that we as an industry are not alone in these endeavours. And South Africa is also not unique in having to face the vagaries of economic cycles. The realities we face are the realities the world faces, and these realities are not only impacting on the automotive industry, but on every facet of commerce and society, throughout the globe. Our country has also recently gone through a period of political instability, which added to the tangible hard-

ships impacting the economy, and this combination of uncertainty and adversity negatively affected general business and consumer sentiment. This is not unique, and it has happened many times in the past, and we have always pulled through. This knowledge sustains and reassures us. As I said in my executive address last year, “as always, these things shall pass. In these dark times, we need to accept a universal truth, that of change. We cannot stop it and we cannot

cling to old ways.” The only difference to past challenging times is that the rate of change we face is now at an unprecedented pace. Advances in technology and its application are incalculable and nigh impossible to predict. The RMI is striving to up its game and to advance to a level of proactive engagement where solid research and effort leads to practical solutions that create optimal solutions for all its members. Our track record in implementing solutions speaks for itself, but we realise that we cannot afford to drop our guard, or to take our eye off the ball. It is imperative that we increase our local skills base and that we retain qualified technicians by making all the aspects of our trade highly regarded and professionally relevant. We must recognise the changing global dynamic and address the emerging east as a priority consideration in our business models. We also have a responsibility to transform the industry into a more representative demographic without throwing the baby out with the bath water. Let us roll up our sleeves and prepare our industry for the next 101 years, side by side! Jeff Osborne CEO of the RMI

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PRESIDENTIAL REFLECTIONS A Remarkable Track Record

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n 1908, Sir Albert Atkey formed the South African Society of Motor Traders, the first forerunner of the RMI. There were 17 Johannesburg motor traders who made up the membership. Today, 101 years later, the RMI boasts a constituency of nearly 7800 members across South Africa in 13 different constituent associations. As an organisation, we are of the same era as many remarkable feats of history. At the beginning of the 20th Century, Henry Ford was determined to build a simple, reliable and affordable car. On 1st October 1908, the first model T Ford rolled off the production line in Detroit in the USA. The purchase price was $825, with 10 000 being sold in the first year. The second innovation at the same time was the assembly line, and while not conceiving the concept, Henry Ford perfected it. It is hard to imagine how this was achieved 100 years ago without the technology we have at our disposal today. Many other interesting events happened at the beginning of the 20th century. The RMI was already 10 years old when Nelson Mandela was born.

Throughout the very rich history of the organisation, members’ needs as well as the macro-environment have driven its strategic direction. We have a remarkable track record, and we have not only made significant progress in recent years, but have continued to attain outstanding achievements in many facets of our business. The organisation has never been stronger or more stable. Assurance and commitment to the interests of the motoring public in terms of a code of conduct honoured by all our members, is what strengthens the RMI’s brand and reputation. The motor industry has always been a barometer for the growth or decline of the economy. There are huge challenges currently facing our membership in terms of the prevailing economic climate. The future requires more focused business efficiency, innovation and resilience, and the same kind of endurance that has carried the RMI through for 100 years. As President, I am immensely honoured to be associated with the RMI at the time of its centenary. As a member, I am even prouder to carry through its values and commitment to the consumer. Ferose Oaten (Mrs) President of the RMI

Salutations

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here is no doubt that the motor industry with all its challenges, remains an exciting industry to be involved in. It is dynamic and multifaceted, with many stakeholders. The role it plays in both the economies of countries as well as the lives of people, is significant. No wonder then that it is such a high profile industry, also here in South Africa. The customer facing retail sector in particular, tends to enjoy a lot of attention. It is in this regard that the RMI, and its predecessor the MIF, have played a valuable role over the past 101 years. I am proud of the manner in which our organisation has consistently projected the image of our sector, and how they have represented us on many national forums over the years. I salute the many office bearers and volunteers who distinguished themselves in the quality of their service to the RMI, for the benefit of all its members. The ability of our sector to speak with one voice has definitely stood us in good stead when it comes to matters of common interest. So many examples can be given where the RMI successfully negotiated changes to legislation, regulations and policies. From my perspective I can state with confidence that the RMI has succeeded in making our businesses

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better. It is certainly deserving of our continued support. I found my tenure as President of the RMI a very stimulating, learning experience. At McCarthy’s we have always taken our broader industry responsibilities seriously and I was therefore privileged to have followed in the footsteps of legends like Errol Richardson and Theo Swart. Our commercial director Lazola Madikizela, who is serving on the RMI board at present, is continuing this McCarthy tradition. It was also a special privilege working with a most professional board that gave me wise counsel, and a committed executive team under the leadership of Jeff Osborne. What about the future?

I am hopeful that we will see an improvement in trading conditions, soon. The next phase of growth is likely to start early next year. Due to the nature and complexity of our industry we will continue to face many challenges in the future. For this reason the need for an organisation like the RMI will only increase. “Unity is strength” has never been more appropriate. The RMI under the capable leadership of Ferose Oaten can certainly count on my support as well as good wishes for the next 101 years! Brand Pretorius Immediate Past President of the RMI

A NOD FROM NAAMSA Close Collaboration is the Key

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AAMSA congratulates the Retail Motor Industry Organisation (RMI) on its positive contribution to the interests of consumers and the broader automotive industry in over 100 years’ existence in South Africa. The specialist role and interface of the RMI between vehicle manufacturers, importers and distributors of motor vehicles and the industry’s consumers has added tremendous value over the past century and remains critically important for the future growth and development of the entire South African automotive industry. Close collaboration between all role-players in the domestic automotive industry is key to the future sustainability of the industry in South Africa. The South African motor industry incorporates the manufacture, distribution, servicing and maintenance of motor vehicles and plays a vital role in South Africa’s economy, contributing during 2008 about 7,3% of the country’s R2 283 billion Gross Domestic Product (2007: R1 995 billion). Since the implementation of the MIDP in September 1995, the South African automotive sector has grown in stature to become the leading manufacturing sector in the country’s economy. A compounded annual growth rate of 27% in rand value terms for completely built-up vehicles (CBUs) and automotive components exports has been achieved from 1995 through 2008. Total automotive industry exports (CBUs and components) in rand value terms increased more than twenty-two fold from the

R4,2 billion in 1995 to R94,2 billion in 2008. Close on 1,5 million South African manufactured vehicles have been exported since 1995 to date. The export growth has been accommodated by major investments in best practice assets and state-of-the-art equipment, skills upgrading, productivity gains and upgrading of the whole automotive value chain. Currently first world economies are in the middle of severe recession as a result of the global financial and economic crisis. This is having a negative knock on effect on emerging market economies, including South Africa. Going forward, the South African automotive industry will have to continue focusing on significant improvements in its international competitiveness in respect of production costs, without compromising high quality levels. The future and fate of the South African automotive industry, its contribution to the country’s economy as well as the country’s contribution to the continent will largely be determined by the effectiveness of responses to global pressures. The positive developments and achievements in the South African automotive industry, since 1995, have been driven by a supportive automotive policy regime. The Automotive Production and Development Programme (APDP) to replace the MIDP from 2013 onwards should enable vehicle manufacturers and their suppliers to plan strategically for the future and to finalise investment decisions with confidence and certainty. It should also enable various manufacturers to tender for the production of new models in South Africa. David Powels President, NAAMSA

Growing the Industry

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he National Association of Automobile Manufacturers of South Africa (NAAMSA) salutes the Retail Motor Industry Organisation (RMI) on over 100 years of outstanding service to the automotive industry and its customers in the areas of new and used vehicle sales as well as vehicle servicing, maintenance and repair. Over the past century, the South African motor industry has developed considerably evolving progressively from initially an importing sector into an increasingly self-sufficient industry comprising vehicle manufacture, distribution, servicing and maintenance. As is the case globally, there is a large degree of interdependence amongst all the role-players in the South African automotive industry. In case of South Africa, however, it is significant to emphasise the constructive way in which industry, labour and government co-operate to maximize the contribution of this key sector to the South African economy.

Both the RMI and NAAMSA are trade organisations committed to the principles of free enterprise and the promotion of the interests of the broader South African motor industry. Both organisations have built up a constructive working relationship in matters of mutual interest and this in turn has provided a strong platform to support the further growth of the industry in future years. NAAMSA looks forward to continuing to work with the RMI to grow and develop the industry and to enhance the welfare of our customers. Nico Vermeulen Executive Director, NAAMSA

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NAACAM NOTES The changing motor industry landscape

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he RMI's start to the organisation's second century has found itself in a very difficult economic environment. Local production of motor vehicles in 2009 will in all probability be less than 350 000 vehicles, a far cry from the heady heights of 700 000 we have been experiencing in the immediate past. The industry is going through a severe correction, and unfortunately due to a lack of stimulus from the government we will just have to ride out the cycle. This the industry will do, we have done it on a few occasions over the last 30 years, and I have no doubt we will do it again, but it will bring about a changed motor industry landscape. In terms of the immediate future, component companies and RMI members, will need an even closer relationship between NAACAM and the RMI. Component manufacturers need to supply the aftermarket more aggressively to offset the falling demand to OEMs and the challenge to component exports caused by the strong local currency. The good news is that the number of cars on our roads has swelled significantly over the last five years to over eight million vehicles, all these vehicles need to be serviced, and a very important thrust for the component industry is to encourage South Africans to buy local components. The country urgently needs to support our local industry, not only does it help to create and maintain employment, the country’s primary need, but South African compo-

nents are a guarantee of quality and ensure safe motoring. Imported components from some countries are a safety concern, with at times the public and members of the auto service industry sacrificing quality for price and therefore putting lives at risk on the roads. It is vitally important during these tough times for the South African industry, NAAMSA, NAACAM and the RMI to work even closer together to ensure that our industry pulls through this mighty recession, and emerges strong and more unified. The brighter news is that spring always follows winter. We remain confident that our industry will emerge strongly from this economic correction. The important aspect is that we all ensure that our businesses learn the lessons from the excesses we have enjoyed in the 'boom times' and that most importantly we tackle the 'hard issues'. The new road infrastructure and the FIFA world cup next year, will I am sure provide the impetus to get our industry back on track. The most important strategy going forward is to ensure that the motor industry becomes more united, and that the three major industry organizations work even closer together and support each other. The motor industry is the most energized sector in the SA economy, and we need to build on this strength to improve our great industry which is the cornerstone on which our entire economy rests. Congratulations to the RMI on going into your second century, only truly great organisations can endure and thrive that long. NAACAM looks forward to working with you even more closely as we move into a new era in our industry. Stewart Jennings President, NAACAM

‘What interesting times these were’

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AACAM was established in Port Elizabeth in July1980 by representatives of twenty major automotive component manufacturers who felt the necessity for a strong organisation to represent their interests effectively to Government, vehicle manufacturers and other authorities. Most of these companies had been members of the Motor Industries Federation, the RMI’s predecessor, but this divorce was amicable, and happened with the MIF’s understanding of the necessity. What interesting times these were. The car market was growing from strength to strength and about to reach a peak that would not be surpassed for 23 years! Mandatory local content had just been extended to include light commercial vehicles in addition to cars, and there were talks of political sanctions against South Africa which would have required even more local content. No wonder the component manufacturers decided to flex their muscles! By 1985 there were over 100 member companies, mostly locally-owned, and the Association decided to move to Gauteng, which had taken over from Port Elizabeth as the major automotive producing region. To be honest, up until that time the component manufacturers had it fairly easy, because since 1960 there had been mandatory local content, and so a number of companies had virtual monopolies and ran their businesses

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accordingly. The first dark clouds came in the mid-eighties with the developing nations crisis which dramatically weakened the Rand and pushed vehicle prices up. The resultant rethink of economic policy caused government in the late eighties to change the local content measurement from weight to value and allowed exports to count towards the targets, the so-called Phase VI of the Local Content Programme. Suddenly, suppliers had to think about efficiency and costs a lot more seriously, as an element of competition began to creep in! To make matters worse, the Phase VI period coincided with the toughest years in memory for the vehicle market, with sales back to levels last seen twenty years previously, and 38% below the 1981 peak. As a result of these factors, employment by component companies fell to their lowest recorded levels – less than 50 000 compared to over 80 000 in the early ‘80s. Fortunately the replacement market remained strong, and the establishment of fitment centre franchises around the country gave a much-needed boost to the parts market and strengthened ties between NAACAM and the RMI. Since then the MIDP and the globalisation of the South African industry have changed the face of the market, and with both NAACAM and the RMI having grown and remaining strong, and working together to ensure future growth for another 101 years! Roger Pitot Executive Director, NAACAM

NOTE FROM THE PUBLISHER With over 35 years in the automotive industry, in various management roles, from financial to marketing to chief executive, Graham Erasmus is an industry all-rounder. Now in automotive aftermarket publishing, Graham subscribes to Motilal Nehru’s maxim that there are two types of people; those that get the work done, and those that take the credit for it, and that it is better to be amongst the former as there is too much competition amongst the latter. Also does not disagree with the adage that there are three types of individuals; those who make things happen, those who watch things happen, and those who say “what the hell happened?” Loves all of humanity, but does struggle intensely and passionately in suffering fools gladly. He has a B.Comm (Accountancy) from the University of Port Elizabeth. Professional memberships include MTCCA, MIMM, AFEC, and the SAGMJ.

An Exclusive Club of Forward Thinkers When Trilogy Publishing was commissioned at the end of March 2009 to produce a prestigious edition celebrating 101 years of the Retail Motor Industry Organisation, it was with a sense of humility that we approached the project. Not only did we have to do justice to a century of achievement, we also had to include the history of the companies that contributed to the development of the South African automotive industry, in all its forms, over the past 101 years, and to provide a rich tapestry of our pioneering past, and an acknowledgement of those who came before us, those who are today adding to this history, and those who are still to add to the chronicles in the future. A daunting task, which we tackled with relish, as it is a fantastic sense of achievement just to participate in such a wonderful venture.

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he major obstacle in our endeavours was the question of space. In today’s frenetic times, space in all its manifestations is at a premium, and we recognised the fact that we could not indulge ourselves in covering one hundred and one years through the luxury of chapter and verse. We are, after all, in the Twitter age, and attention spans are not what they used to be. Thus, we initially decided to limit this glorious commemoration and remembrance to 50 companies and organisations, later revised ambitiously to 101 entities and eventually revised to what we eventually ended up with, an exclusive club of 54 forward looking establishments. And we added the extra burden of brevity on our writers’ shoulders by insisting on economy of words. We assembled a fabulous team of motoring journalists to write this history, with a tight but flexible brief: to distil the essence of each company’s contribution to the South African automotive industry into a short and vivid account of the past, the present and the future, and to recognise the global influences, but to seek out the local highlights and the nuggets of idealism which lie buried in each and every story. Sounds quite tight, but we gave the writers free rein to do this with their individual flair. And we trust that you agree with us that they have delivered, in spades, in bringing to you unique eureka moments. In the early stages of this project, we realised that with South Africa being a melting pot of cultures, class and heritage, and with historical documents mainly in black and white, and in various states of condition, that colour would impinge on the classical nature of this book, so we settled for a sepia finish,

which we believe has added to the superb feel and finish, and contributes to an inspiring manuscript and record to be treasured forever. Our only concession to colour is the RMI logo at the foot of each page, and our montage of the vibrant gala dinners that the RMI held in 2008 to commemorate their centenary. These gala dinners were made possible through the generous sponsorship of WesBank and Bosch. This publication is a remembrance of what we are, an acknowledgement of where we’ve come from, and a pointer of where we are going. Our endeavours to get an all encompassing participation came to nought, because many in the industry commented that this was a difficult time to bring out this tome, and therein lies the reason why we had to bring it out. Even in the darkest times, there is a silver lining, and remembering the good times helps us through the bad times, and allows for us to seek the future. We started to approach sponsors in May 2009, during the midst of one of the deepest recessions since 1929, and whilst the reception to RMI 101 was initially encouraging, by early August 2009, as the recession deepened, we realised that the appetite for celebration was not very high. So we adjusted our sights, and decided to let market and emotional forces dictate the size of the publication, based on a triad of marketing pillars; we were to promote our venture through three specific routes: e-mail communication, advertising, and personal appeals. This would effectively be a distillation process that would separate the wheat from the chaff, with the resulting book, no matter how thin or how thick, representing the

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NOTE FROM THE PUBLISHER cream of the crop, the crème de la crème of the automotive industry. In this publication, you will then find companies with advanced perception, comprehensive understanding, total vision, reverence for what they represent, and contentment and a feeling of fulfilment about who they are and what they are about, all gelling into a celebration of their past, their present, and their future. A real life demonstration of Maslow’s Hierarchy of Needs; not from a personal perspective, but in reality an organisation actually reaching self actualisation. Thus, this compilation is a gem, a collector’s item, and a publication of historical import; something to be savoured, cherished, and treasured as a historical milestone identifying and honouring those who refuse to be bowed by historical circumstance, and those who realise that life goes on, and these are the people, companies and institutions that one can rely on to pull the cart through the drift, no matter how strong the back pull. On this premise, you are holding in your hands not a blockbuster in the conventional sense of the word, but an exclusive collection of very special companies and very special people, a physical manifestation of entities and personalities that will be around for many years to come, and who will definitely be in the RMI 150 and RMI 200 year editions. A big thank you to the visionaries who made this project possible, a project that from the outset was never a money making

exercise, but an imperative based on the fact that the opportunity had been lost the previous year, and this was a creation of a vehicle to correct this oversight. Many companies, particularly those who provide ancillary services to the automotive industry in various forms, such as research, financial, auditing and consulting services, and who basically feed off this wonderful and giving industry, were approached but deemed it fit not to participate, which is a great pity, but which serves as an indication of the mindset that causes companies to fail in the bad times; but a plea nevertheless to those missing from the RMI 101 honours list to add a codicil to your wills, instructing your grandchildren and great grandchildren to definitely participate in the 150 and 200 year editions – if your companies are still around, that is! Another notable omission is a foreword from the Minister of Trade and Industries, not for lack of trying on our part. The 50 year and 75 year RMI editions did have forewords from the Ministers of Economic Affairs in 1958 and 1973, but this was not possible for this issue, as our publishing deadline could not be met by the present incumbent. Maybe better luck next time.

Please treasure this book of celebration. It deserves great care, and so do you. 8th October 2009

Howard Mellet – Managing Editor Howard Mellet is a veteran of more than 25 years in the publishing industry in South Africa. He was instrumental in launching SA LAN Times magazine in 1989. He has had associations, in consulting editor roles, with other publications, including the South African edition of Information Week. He has been published in Business Day, Millionaire Magazine, Finance Week, Anytime Magazine, Drive, TopBike, Automobil and others. He is a past projects editor of Truck & Bus magazine and editor of AutoInsight magazine. He is a member of the SA Guild of Motoring Journalists (SAGMJ).

Jackie Kraft – Concept, Design and Development Fifteen years in the graphic design and marketing field. After reading for a Bachelor in Visual Arts at the University of Pretoria, majoring in Information Design, she moved to a leading advertising agency in Johannesburg before founding J.Kraft Information Design (KID). KID specialises in the complete spectrum of visual communication from print design to electronic media and marketing campaigns. For relaxation, Jackie can be found at her local golf course, when not burning the midnight oil.

CONTRIBUTING EDITORS -

Adrian Burford Adrian Burford has been writing about cars and motoring for 21 years, joining the now-defunct Drive magazine as a cadet reporter in 1988. A freelancer for the last decade, one of his main clients is the AA Traveller magazine. As the motoring editor his prime objective is to look at motoring from the perspective of Joe and Jane Average, and prevent them from making poor decisions. A keen cyclist, his pet hates are taxis, potholes and mindless SUV drivers, not necessarily in that order. When the test car well occasionally runs dry, he is found behind the wheel of his classic BMW 2002, which, as he puts it, acts as a great reality check.

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CONTRIBUTING EDITORS -

Peter Burroughes Peter Burroughes is a freelance motoring journalist and PR/marketing consultant who is in his fifth decade of observing, promoting and reporting motoring and motor sport. He has worked in both print and electronic media, in advertising and public relations and has travelled the world in the course of his assignments. He currently covers national championship circuit racing, off road racing and rallying for various clients and is media consultant to Team South Africa competing in the A1GP World Cup of Motorsport and also to Gauteng Motorsport Company. He is a member and past chairman of the SA Guild of Motoring Journalists (SAGMJ) and a recipient of Motorsport South Africa’s Lifetime Achievement Award. Paul Collings

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Paul Collings is a freelance journalist and Special Report Correspondent for FleetWatch Magazine. He has specialised in writing about and photographing commercial vehicles since 2004. He is also a published author and winner of the 2003 Anglo Platinum Short Story Award. He lives in Johannesburg and is father to a son, Alex.

Gavin Foster -

Gavin Foster began his freelance career as a fulltime photojournalist in 1993. Able to write on just about any topic, his work was in constant demand. He is a jury member for the SA Guild of Motoring Journalists (SAGMJ) Car of the Year competition. A keen motorcyclist, he won a Magazine Publishers Association of South Africa (MPASA) PICA award for Profile Writer of the Year in 2008.

Teddy Knoetze

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Teddy Knoetze began his career at Die Burger in Cape Town after graduating from the University of Stellenbosch. In a career spanning more than 40 years he has worked for various newspapers, and book and magazine publishers, both on a permanent and freelance basis. Together with his wife, Dina, he wrote a series of language and science text books for use in schools. He started his own publishing company, Motorcomm, in 1992, which concentrates mainly on publishing magazines and translations relating to the motor industry. He is a member of the SA Guild of Motoring Journalists (SAGMJ).

Leo Kok -

Leo Kok started his career in 2002 as a journalist at Sake-Beeld. He progressed to senior financial reporter where he covered trade and industry and automotive sectors. He subsequently moved to MotorBeeld as editor until early 2009, when he pursued other interests in the corporate sector. Leo majored separately in languages, and industrial psychology and communication sciences at the University of Johannesburg (UJ). He also holds an honours degree in Journalism from UJ and an MBA from the Gordon Institute of Business Science (GIBS). Leo has continued his passion for writing as a part-time freelance writer and he is the current treasurer of the SA Guild of Motoring Journalists.

Richard Macaskill

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Richard Macaskill is one of the young bloods in the motoring industry. Educated at Hilton College, Richard matriculated in 2003, after which he studied a Bachelor of Arts degree at the University of Johannesburg with majors in Journalism, Communications and Economics. Richard also has an introductory mechanics’ course to his name, completed in May 2008. An avid writer and passionate about motoring, Richard wasted no time in getting into the industry and seized the opportunity when he was awarded the South African Guild of Motoring Journalists’ Commercial Vehicle Bursary in mid 2008. The following year Richard was offered the guild’s Car Bursary, which is the position he currently holds.

Alwyn Viljoen

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Alwyn Viljoen sold his first essays while at school, (charging two sandwiches a page). He has long since realised that hacking out facts puts more bread on the table than scribbling fiction. His media career evolved from corporate writer to political reporter to humour columnist to magazine journalist and culminated as publisher. After selling his shares in the publishing company, he took to the road as freelance transport and travel writer. Along the way he picked up a motley but useful collection of qualifications, ranging from speed reading to police science 101 to sheep management. He is a listed couch-surfer and closet librarian.

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The Beginning It was on Monday, 4th June 1897, at 4pm, that the future of mobility in South Africa changed forever. Not that those present knew it at the time.

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he event was the unveiling of South Africa’s first motor car, or horseless carriage, and the first public demonstration of the Benz Velo, imported into the country by Hess & Co. This event was also in reality South Africa’s first motor show, because the owner of the Velo, J P Hess, charged a two shilling and sixpence (25c) entrance fee. The demonstration took place at Berea Park, Pretoria, and it was indeed a momentous occasion, with the attendance of President Paul Kruger (who declined to take a ride) and Dr. W J Leyds, the State Secretary, who became the first official motor car passenger when he accepted the offer to ride pillion in this revolutionary contraption. The driver was A E Reno, the owner of the Pretoria News, so it can also be safely assumed that Mr. Reno was the first South African motoring journalist. Unfortunately, there is no record of his assess-

ment of the vehicle, as no story appears to have been filed, but we do have it on good authority that he partook heartily of the complimentary food and drink, and thus he constructed another first, and began the journalistic tradition of freeloading. The Velo was undeniably a trailblazer, as its short history also foretold of the love affair that South Africans, who are not alone in this, would have with the motor car. The Velo was sold to a local coffee and tea

merchant A H Jacobs to be used in promotions. Customers, according to the size of their coffee and tea purchases, could either have a look at the vehicle, or even take a short drive. Under supervision, of course. Unfortunately, the Velo met a fiery death when the business burnt down, but by this time the South African public had woken up and smelt the coffee, and their love affair with motor cars had begun in earnest. No longer did love and marriage go together like a horse and carriage. It was far more serious than that, and man’s passionate embrace of motor cars and internal combustion engines provided great grist to Sigmund Freud’s mill, and many other psycho analysts after him. Today, cars are not simply means of transport; they are works of art, they are objects of desire, they are statements of manhood, they are phallic symbols, and in their latest manifestation they are willing participants in the emancipation of women.

“For six straight days God worked, and on the seventh day He tinkered with His V8” - anonymous

Photo credits: SA Veteran and Vintage Association and UCDD

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The man who started it all, John Percy Hess, leans on the rear fender of the Velo, with Dr J P Leyds, the first passenger, sitting next to A E Reno, the first motoring journalist. Paul Kruger is not in this picture, most probably because he was making sure that he was well away from this new fangled mechanism, which “could take fright if a dog barks”.

The Need for the RMI “Some horsepower, some horsepower, my kingdom for some horsepower” - With apologies to Shakespeare: Richard III

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he early days of motoring in South Africa were trying, to say the least. The first cars had no protection against the weather, and motorists had to carry a considerable load of spares (not in the modern sense): cans of petrol, lubricating oil, water; and tools, spare tyres and a spade for digging themselves out of trouble. No cars had spare wheels so the many punctures required tyre changes with the wheel still bolted to the axle. Lubrication was rudimentary, so mechanical breakdowns were the norm rather than the exception. The motorist had to do the servicing himself because garages and mechanics were virtually non-existent. Petrol stations were also rare animals, so petrol had to be carried on the vehicle for long trips. And long trips were pioneering affairs. Frank Connock and Robert Jefferson were the first to do the Durban to Cape Town trip (via Johannesburg) in May 1907, which they achieved in the relatively short period of 16 days. This was done on very bed roads, and sometimes close to impassable rivers, forging some intrepid crossings on railway bridges. These early tribulations did not deter the motoring pioneers, and as early as 1901 the need

Malcolm Irving, President of the MTA (1923 – 1924) and the first man to establish a workshop in South Africa, in 1901

for technical assistance was recognised, with the establishment of the Rudge Whitworth Company in Cape Town, the first motor works in South Africa. That same year, Malcolm Irving (later to become the President of the MTA from 1923 to1924), at the request of the Royal Automotive Club, established the first workshop to exclusively undertake the repair and servicing of motor vehicles. The Anglo Boer War slowed things up north, so it was a year later in 1902 that the first motor firm, the Johannesburg Motor Company Limited, set up in

Robert Jefferson and Frank Connock with their Rover which took them from Durban to Cape Town in 1907 Photo credit: Leyland South Africa

the then Transvaal, to be followed in a couple of months by the Continental Garage. The other provinces played catch up, and by 1908 there were well over 50 motor dealers in South Africa and a proportionate number of service dealers. The car parc had reached 500 and was growing apace, and the need for collective representation was sensed. Sir Albert Atkey, who had taken over the Johannesburg Motor Company and set up the Johannesburg Motor Mart in 1903, was instrumental in the formation of the South African Society of Motor Traders, based on the British Motor Trade Association. This was the birth date of the MTA, later to become the Motor Industries Federation (MIF) and now the appropriately named and inclusive Retail Motor Industries Organisation (RMI). The first President of the Society was Arthur Gaydon, at that time the Johannesburg manager of the Dunlop Rubber Company Limited. The RMI and its forerunners have played a sterling role in the history of the automotive industry in South Africa since those groundbreaking days, and there were many highlights and low points in this history. The purpose of the RMI 101 publication is to celebrate the past 101 years of industry activism and to acknowledge the role that the RMI plays today, and to look forward to the next 101 years, which are sure to bring a surfeit of surprises and twists and turns that the most prescient of us will not even come close to predicting, but one thing will remain constant, and that is the need to look after the motorist of the future, with professionalism, integrity and enthusiasm, and a commitment to staying abreast of whatever turns the industry takes and to react to government initiatives and strictures.

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Who is The RMI? With a membership of 7 209, the RMI provides a very effective collective voice that gives members considerable clout in negotiating better trading conditions.

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s the lead voice in the motor industry, the RMI is a member-driven organisation that constantly seeks solutions to concerns raised by members in the day-to-day running of their businesses. Members’ needs are serviced through six regional offices, manned by 83 professional staff. In addition, the RMI is the major employer representative of the Motor Industry Bargaining Council, playing a significant role in labour negotiations as well as the industry’s social benefit schemes, dispute resolution processes and exemption procedures.

Objectives of the RMI • To promote, protect and encourage the interests of members and the motoring public by setting and maintaining proper standards of service and ethical trading conditions in the industry. • Facilitates the settlement of disputes between members and their employees, members and the motoring public by conciliation/mediation/arbitration. • Regulates relations between members and their employees and/or trade unions and protects and furthers the interests of members in that regard. • Promotes, supports or opposes when necessary, any proposal, legislative or other measures affecting the interests of members. • Affiliated with, and participates in the affairs of other bodies sharing common interest with RMI members i.e. NAAMSA, NAACAM, SABS, DoT, BUSA, Nedlac, SAPIA, DTI, etc. • To maintain high standards of business ethics and service delivery to the motoring public by members of the RMI, and where necessary provide upliftment programmes to improve the knowledge and professionalism of members.

Services offered by the RMI Business Focus • Representation of member's interests with various government and other industry bodies, i.e. AA, SABS, DTI, DoT, NAAMSA, NAACAM, AIDC, MIDC, AMID, oil compa-

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nies, motor manufacturers, various banking and insurance institutions. • Disseminates valuable industry information to members and consumers. • Encourages consumers to do business with members through the accreditation and grading of member businesses. • Access to other business partners in industry offering industry specific products, ie Capricorn. • Quality & Standards enforcement through the elimination of counterfeit parts and illegal importation and notification to members, thereby protecting both members and motorists from the consequences of mechanical failure due to the use of sub-standard components. • The RMI is an endorsee of national motoring exhibitions such as the Johannesburg International Motor Show, Automechanika South Africa, South African Automotive Week and the Workshop and Technology Show. • The RMI has vibrant national Consumer Affairs Departments dealing with matters raised by consumers and members alike where the RMI acts as intermediary in resolving disputes amicably. • Brand awareness campaigns through media reports, radio and television interviews, national radio advetising and government liaison to promote RMI members, with particular focus on consumer awareness in doing business with RMI members and promoting the Code of Conduct. • Business Directors managing specific Associational needs and activities. • Regional and National Executive Committees representing members and encouraging member interaction and participation in the successful role of specific Associations.

Training Focus • Sourcing of training interventions through the RMI Training Department. • Seven qualified Skills Development Facilitators based at all

RMI regional offices assisting members to implement skills development plans. • Representation of members, and addressing their training needs, by serving on various forums of the Merseta, ie Authority-, Executive and Merseta Motor Chamber Committees, including bodies such as BUSA and DoL.

Labour Focus • Highly qualified IR consultants nationally at six regional offices; • Negotiation at MIBCO level with unions on wage and substantive issues; • Free telephone assistance and advice on employment issues within member establishments; • Highly competitive low-priced on-site assistance by our skilled IR staff;

• Representation at DRC, CCMA and Labour Court forums; and • Presentation of seminars on various labour related issues.

Social Benefits • Healthcare - Moto-Health Fund available for members and their employees offering very competitive contributions with excellent benefits. • Pension & Provident Funds - excellent funds available for members and their employees.

The above are just some of the more tangible reasons for belonging, but in time to come, the consumer will more and more insist on exclusively doing business with RMI members and remember, the greater our numbers, the stronger our voice!

THE DYNAMIC RMI EXECUTIVE TEAM

Jeff Osborne CEO

Jakkie Olivier Executive Director

Gary McCraw Organisational and Board Secretary; NADA/MDA Director

Aruna Ranchod

Twala Boco

Paul Britz ERA/MIWA/ SADFIA/ACRA Director

Vishall Premlall

Moeketsi Wa Mitane NAAASP Director

MPEA/MIMA/Quality & Standards Director

TDAFA Director

IR/HR Director

Claire Patterson Communications Director

Aleeshen Kisten SAMBRA Director

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Peter Noke SAPRA Director

Louis van Huyssteen Regional Manager Free State & Northern Cape Region

Nunben Dixon Financial Manager

Annette Stewart General Manager KwaZulu Natal

Len Whiteley Training Manager

Sibongile Mtapoane General Manager Highveld

Angela Calogero Regional Manager Northern Region

Joy Oldale Director SAVABA & NVTA

Jan Schoeman General Manager Western Cape Region

Erwin Stroebel Regional Manager Eastern Cape

THE RMI BUSINESS ASSOCIATIONS Automotive Component Remanufacturers' Association The Automotive Component Remanufacturer's Association (ACRA) represents component remanufacturers involved in both the remanufacture of safety critical components and radiators. ACRA's objectives include the promotion and protection of the interests of the motoring public and members. The RMI/ACRA accreditation programme ensures that all members meet the standards and criteria set by ACRA and members pledge to both the RMI Code of Conduct and ACRA's Code of Business Practice. The remanufacture of safety critical components is a growing industry and ACRA has identified the need for the development of specialised training courses for technicians and operators in the component remanufacturing industry. ACRA has a close working relationship with the South African Bureau of Standards dealing with all issues pertinent to members.

Engine Remanufacturers' Association ERA represents the cream of the automotive engineering industry in South Africa. ERA members use state of the art equipment and highly skilled staff to perform the full range of automotive engineering operations required to repair and overhaul all components of the modern petrol and diesel engines on our roads. Second-hand engines are available in the market; however, it is recommended that such engines are only purchased from reputable bona-fide accredited ERA members, as engines purchased from other sources often leads to premature engine failure. These engines may also not always be compatible to local conditions. ERA members supply only the finest components and highest quality of workmanship. ERA members take pride in providing warranties against workmanship appropriate to the type of engineering work undertaken. ERA prides itself on being the "Hallmark of Precision Engineering".

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Motorcycle Dealers' Association The retail motor industry looks to the Motorcycle Dealers' Association as its mouthpiece to protect and further the interests of the motorcycle sales and service industry. The MDA has on a number of occasions successfully negotiated with government on issues relating to import taxation and traffic legislation which was seen to be prejudicial to the interests of the industry and consumers. MDA also periodically liaises with insurance companies and financial institutions with the view to negotiate better dispensations for its members. An additional important function of the Association is to liaise extensively with the Association of Motorcycle Importers and Distributors, where MDA represents the interests of dealers during discussions with South Africa`s major motorcycle importers. Accredited membership of MDA allows proprietors to display the RMI Code of Conduct through which it is undertaken to provide products and services at a fair and reasonable price, and to honour both the letter and spirit of any guarantees accompanying the sale of those products and/or services. Close liaison also exists with the National Automobile Dealers' Association and various international organisations.

Motor Industry Workshop Association The motoring public has become increasingly educated and discerning when it comes to servicing and repairing their vehicles. The demand for quality services and parts has become a prerequisite by the consumer at any vehicle repair establishment. MIWA represents workshops conducting general repairs, auto electricians, driveline and transmission specialists and vehicle accessory centres. A major focus of MIWA is to further educate the motoring public on how best to protect themselves against sub standard work. With more than 2200 members countrywide, we undertake to provide you the motoring consumer with guaranteed service and nationwide support.

Motor Parts & Equipment Association The Motor Parts & Equipment association represents wholesalers, retailers and independent parts traders in the replacement motor parts industry.

"A Genuine Reason for Helping the Consumer" Genuine or Branded parts are quality parts manufactured by reputable companies and in the majority of cases, are also supplied to original equipment (OE) manufacturers. These genuine replacement parts are available to the CONSUMER at accredited MPEA spares outlets at affordable prices and are distributed throughout South Africa by reputable companies and backed by the manufacturers’ warranty.

Motor Industry Manufacturers’ Association MIMA is the association that oversees the interests of employers who manufacture motor vehicle parts, components and accessories. MIMA currently operates under the auspices of the MPEA.

National Automobile Dealers' Association The National Automobile Dealers' Association is a professional body representing the interests of businessmen who own/operate new vehicle franchise motor dealerships and qualifying used car only outlets in South Africa. It is dynamically committed toward the enhancement of the image of the retail motor business; facilitating the interface between dealers and the motor manufacturers who supply them; building rewarding relationships between dealers and their customers; and bringing relevant issues facing its members to the attention of government at all levels. In all forums, NADA is the fully representative and respected voice of the retail motor industry in South Africa.

National Vehicle Testing Association National Vehicle Testing Association (NVTA). The NVTA represents vehicle testing stations involved in the testing and issuing of roadworthy certificates in terms of the National Road Traffic Act and SABS 047. This is a legal entity. The RMI / NVTA accreditation programme ensures that all members meet the standards and criteria set by NVTA in accordance with SABS 0216. NVTA members pledge to the RMI Code of Conduct.

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National African Association for Automobile Services Provider NAAASP is the lead voice representing over 1400 informal / semi-formal; automotive traders from previously disadvantaged Communities (rural and township) nationally. The traders range from Panelbeaters (MBR’s), motor and mechanical workshops, auto electricians, fitment centres such as tyres, exhaust, audio service providers to name but a few. NAAASP was founded in late 2004 in Gauteng to deal with the challenges faced by these traders in the market place. It seeks to provide a platform to traders in dealing with the challenges on procurement related matters. NAAASP was then adopted by the RMI in early 2006 as a development association. National African Association of Automobile Service Providers (NAAASP), the development arm of the RMI and the Training Department have merged as a single unit, creating an enterprise development strategy. The strategy aims to create a mechanism to migrate informal traders to the formal economy. A daunting task if one looks at the current economic scenario of fuel hikes and interest rates. The process is a steady rebuilding of an existing informal business into a high quality productive formal business, able to compete on its own in the formal economy.

South African Diesel Fuel Injection Association SADFIA represents the highly specialised diesel fuel injection sector of the motor industry, more specifically the repair and reconditioning of diesel fuel injection pumps for both passenger and commercial vehicles. A number of SADFIA members are also involved in the supply, installation and maintenance of turbo-chargers. SADFIA members use high technology and expensive equipment coupled with highly skilled staff to attend to all your fuel injection needs. SADFIA members take pride in providing warranties against workmanship appropriate to the type of work undertaken. For peace of mind always use an RMI/SADFIA accredited member! Approved SADFIA members will have displayed on their premises the RMI Code of Conduct, RMI and SADFIA branding. Consumers are encouraged to only do business with Accredited SADFIA members.

South African Motor & Body Repairers' Association SAMBRA, as a proud constituent association of the RMI, represents the interests of the Collision Repair Industry in South Africa. SAMBRA represents the vast majority of the repairer market in South Africa that are able to achieve the standards of SAMBRA's grading system. The grading system is devised to allow all levels of repairer to become a SAMBRA member; however restrictions are placed on our members in terms of the level of work they are permitted to carry out. All the activities of SAMBRA are aimed at developing a sound sustainable Industry for all role players that interact with the Industry on various levels. SAMBRA negotiates industry standard rates of labour and trading margins in order to secure financial viability for its members and fair trading conditions for its strategic business partners.

About SAPRA The South African Petroleum Retailers Association (SAPRA) represents and promotes the interests of Petroleum Retailers in South Africa. SAPRA is a constituent association of the Retail Motor Industry Organisation (RMI) consisting of members actively involved in the Petroleum Retail Industry in terms of the Constitutions of the RMI and the Motor Industry Bargaining

South African Vehicle And Body Builders' Association SAVABA members are the professional vehicle body builders in South Africa who manufacture commercial vehicle body applications - tanker, coal-, refrigerated- trucks and trailers; Bus bodies -commuter and tourist type; Specialised vehicle body applications - ambulance, armoured vehicles, and off-road vehicles. All vehicle bodies are manufactured using the latest equipment and highly trained staff, to ensure strict compliance with SABS.

Tyre Dealers' And Fitment Centre Association TDAFA represents the importers and distributors of major tyre brands both locally manufactured and imported, in compliance with SABS standards and motor manufacturer specifications. TDAFA also represents the leading tyre retreaders in South Africa. Strict compliance with the TDAFA's accreditation criteria and applicable legislation ensures the production of quality and safe retreaded tyres. TDAFA members in addition to selling new and quality retreaded tyres, offer professional wheel alignment, balancing, puncture repair and other tyre related services such as mag wheel sales, shock absorber- and tow-bar fitment. Your tyres are your vehicles only contact with the road - don't risk it! You cannot afford to do anything else but settle for the best!

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RMI Centenary Dinners, held across the country in 2008, were vibrant affairs, made possible by the generous sponsorship of WesBank and Bosch

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Robert Bosch: an entrepreneur with a sense of responsibility September 23 1861 – March 12 1942

Bosch at a glance: Supplier of technology and services with a strong global presence The Bosch Group is a leading global supplier of technology and services. In the areas of automotive and industrial technology, consumer goods, and building technology, some 280,000 associates generated sales of 45.1 billion euros in fiscal 2008. The company originated as "Workshop for Precision Mechanics and Electrical Engineering" founded in 1886 by Robert Bosch (1861-1942). Just a few years after the foundation of the company, the first sales offices were opened in London and Paris. Today, the Bosch Group comprises Robert Bosch GmbH and its more than 300 subsidiaries and regional companies in over 60 countries. Of its 291 manufacturing sites, 225 are located outside Germany. To preserve its technologically leading position, Bosch spends considerable sums for research and development every year. In 2008, its research and development expenditure came to 3.9 billion euros, or 8.6 percent of sales. Its most research-intensive business sector is Automotive Technology, whose research and development expenditure comes to 3.2 billion euros, or roughly twelve percent of sales. Throughout the world, more than 32 500 associates are involved in research and development for the Bosch Group, 18 300 of them in Germany. The company's technological competence is also manifested in its large number of patents: with more than 3 850 inventions, Bosch was the most prolific patent applicant in Germany in 2008. In the field of automotive technology patents, Bosch ranks first in Germany, first in Europe, and third in the US. Worldwide, Bosch remains the global technology leader, taking first place for patents granted at WIPO (World Intellectual Property Organisation).

Entrepreneurial responsibility and charitable involvement were cornerstones in the life of Robert Bosch. He was convinced of their importance and their necessity, and passed this conviction on to his successors who totally honour his legacy by continuing and building on his work.

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is sense of responsibility led him to provide benefits for his associates. Bosch improved working conditions by providing modern workplaces, with good ventilation and lighting. He created an apprentice training scheme that offered a solid professional education. He also provided company pensions to care for retirees and their survivors. Independence, family values, and early preoccupation with the pressing social issues of his time formed the roots of

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the charitable activities of Robert Bosch – from continuing education to international understanding. These activities culminated in the opening of the Robert Bosch Hospital in Stuttgart in 1940, two years before his death. He also made sure that these activities continued. In accordance with his will, Robert Bosch Foundation GmbH, was founded in 1964, and is actively involved in the sciences, health, international understanding, society and culture.

But Robert Bosch knew that only a profitable company would be able to realise his vision of corporate responsibility and charitable activity. For that reason, he and his – to date – five successors have invested all their experience and knowledge in helping the company to grow robustly – through innovative products, new business areas, modern manufacturing tech-

nologies, and an international focus. The personality of the company founder, with his principles and guidelines, continues to be a defining influence for the corporate culture. His legacy forms the basis for the special bond associates feel worldwide: they are proud to be part of Bosch.

Chairmen of the Board of Management of Robert Bosch GmbH

Hans Walz 1953 – 1963

Hans L. Merkle 1963 – 1984

Marcus Bierich 1984 – 1993

Hermann Scholl 1993 – 2003

Franz Fehrenbach 2003 -

The Bosch Business System

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ince 1886, the Bosch Group has been successful with pioneering and beneficial innovations that have led to enormous growth. Today, the Bosch Group has a global network of customers and suppliers, and the never-ending task is to maintain and further expand this position. Franz Fehrenbach, the current Chairman of the Board of Management of Robert Bosch GmbH, describes the Bosch blueprint for success; in the past, the present, and vitally, in the future;

“For our growth, we need a common vision, yet the more international we become, the less we can assume that associates will automatically live the values and principles that have been handed down to us. Besides our commitment to other significant initiatives, it is our distinct corporate culture, based on common foundations, that is an especially important precondition for business success and our ability to continue to evolve in the international market environment.” Franz Fehrenbach explained what the distinct corporate culture is that has sustained the Bosch Group for over 120 years. What Bosch stands for, what is Bosch’s common vision, what guides their work, and how they deal with change, and what are their values and core competencies:

nomic growth; it also encompassed improvement in living conditions. Today we incorporate this standard in our claim “Invented for Life.” And the principles and guidelines formulated by Robert Bosch still apply today, just as they will in the future. The future needs a past. Our company stands for tradition and modernity, and these two pillars are the source of our strength for the coarse ahead. However, motivation and sharing of common goals depend on an informed workforce that is prepared to assume personal responsibility. To create a shared view of what a strong and meaningful development of the Bosch group means, we created a brochure, “House of Orientation”, to help all our associates to understand and live our corporate culture – a culture that offers orientation, reinforces cohesiveness, and creates identification.

Understanding and Living the Corporate Culture Our common goal must be to make the most of our great performance potential across all business sectors and in every region of the world, and in this way to vigorously promote the long-term competitiveness of Bosch. The “House of Orientation” sets out how we see our future development, the principles of our approach, and the capabilities that we have and want to exploit for our continued success in the future. It also contains information on the standards and values that motivate us in our daily striving for success and improvement.

“The Future Needs a Past” Robert Bosch gave the company its name and created values that still apply today. For him success did not just mean eco-

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Vision: Our vision is our shared image of the future. It states where we want to go, and what drives our actions. It points the way forward for a strong and meaningful development of the Bosch group.

Mission: BeQIK stands for greater speed in everything that we do, and it stands for quality, innovation, and customer orientation. Our objective is to continuously improve our internal processes.

Values: The Bosch values are the foundation upon which the successes of the past were built, and upon which we will build our future. They guide our actions and tell us what is important to us and what we are committed to.

Core Competencies: For well over a century our company has built upon a unique mix of interrelated core competencies – a mix from which we derive our competitive advantage, and which also forms the basis for the future development of our company.

Bosch Business System (BBS): To be able to implement our Bosch Vision, we need to continuously develop and to manage change. This requires a systematic methodology that shows us in concrete terms where we need to reinvent ourselves, and how well we are mastering these shifts and structural changes in practice. With our BBS management system, symbolised by the multi-coloured triangle, we have created just such a methodology.

The Bosch Pedigree It all began on an early autumn’s day in Albeck, a village to the northeast of Ulm in southern Germany, when the Bosch family welcomed their eleventh child, Robert, a bouncy and inquisitive boy, who went on to found what is today the world’s largest supplier of automotive parts, among other things. This auspicious day was September 23 1861. Robert Bosch was born in 1861 in the "Gasthaus zur Krone" - an inn in Albeck near Ulm. He was the youngest son of the innkeeper, farmer, and brewer Servatius Bosch and his wife, Maria Margareta. He lived here for eight years until his family moved to Ulm.

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obert Bosch’s father was a well educated farmer who placed special importance on a good education for his children, and from 1869 to 1876, Robert Bosch attended the Realschule in Ulm, before taking an apprenticeship as a precision mechanic. After his apprenticeship, which ended in 1879, the young Bosch then developed his taste for innovation and invention during seven years of travel in Germany, the United States and the UK, working for, among others, Siemens and Thomas Edison. It is the Edison link that provides a tantalising clue as to where Robert Bosch got his tinkering, inventive and pioneering talents, but the most important traits that Robert Bosch had was his entrepreneurial and philanthropic flair. This was the driving force behind him opening a Workshop for Precision Mechanics and

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In 1936, on the occasion of his 75th birthday and the 50th anniversary of his company's establishment, Robert Bosch fulfilled a long-time dream: he founded a hospital. The facility with 360 beds was officially opened in April 1940. In 1973, it was replaced by a medical centre built at another location.

Electrical Engineering in Stuttgart, Germany on November 15 1886, an ambitious and daring leap for a 25 year old. The rest, clichéd as it may sound, is history. And what a history! Today, some 123 years later, Robert Bosch GmbH struts the global stage as an industrial colossus, employing over 270 000 people, and with revenues of in excess of 46 billion euros, and at the cutting edge of automotive, automation, packaging, security, consumer goods and power tools technologies. From day one, the focus has been on research and development and the concern for people’s welfare, which has translated into over a century of innovation. Space precludes an exhaustive list of all the wonderful innovations that the Bosch Group has gifted to the world, so we note some historical and world changing milestones:

1887 – First low-voltage magneto for stationary engines 1902 – First commercially viable high-voltage spark plug 1906 – Introduction of the 8 hour work day 1928 – The Forfex hair trimmer – the first Bosch power tool 1929 – First TV set from Fernsch AG Division 1932 – First power drill from Bosch 1932 – Acquisition of Junkers’ natural gas-fired appliances business 1932 – First Blaupunkt car radio The magneto ignition device had begun its triumphant progress across the world. By 1906, the 100,000th Type D6 magneto ignition device had been produced. The growth of his business prompted Robert Bosch to introduce the eighthour workday for the company's 526 associates.

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oday, Robert Bosch GmbH stands on three sturdy legs – Automotive Technology; Consumer Goods and Building Technology; and Industrial Technology. The Bosch brand is synonymous with power tools, home appliances, telecoms, and other products, but it is in the automotive field and among the fraternity of car lovers and automotive cognoscenti that the Bosch brand really resonates. It can also be said with little fear of contradiction that Bosch will be the answer every time the question is asked as to which company has had the biggest impact on innovation in the development of safety, environmental protection and electronics in the motor vehicle. The automotive division is the largest sector within the Bosch organisation, contributing in excess of 60% of its revenues, and the strength and growth in this sector is reflected in the fact that Bosch has become the world’s largest supplier to the automotive industry. The bulk of the automotive revenues come from Bosch’s OEM activities, which is logical when one considers the enormous research and development effort, and the innovations that have flowed from this effort. Robert Bosch also understood the importance of after sales service, and this imperative compelled him to launch the “Bosch Dienst” (Bosch Service) concept in Germany in 1921. Bosch product innovation started in 1897 with the low-voltage magneto ignition for vehicles, and has continued uninterrupted to this day, with Bosch applying for more than 14 patents for developments each working day.

1933 – The first Bosch refrigerator 1964 – The first Bosch dishwasher 1964 – Robert Bosch Foundation founded 1976 – Development of the world’s first swivel-arm industrial robot starts 2004 – Bosch opens new Technology centre in Abstatt 2005 – Night vision system for cars 2008 – Tata Nano, powered by Boschdesigned engine, is unveiled In 2008, Bosch filed patents for over 3 281 innovations, more than any other company in Germany. Many of these patents are esoteric but important in the development process, and will not make the headlines. We look at the headline grabbing automotive innovations since the birth of Bosch in 1886: 1897 – First successful application of Bosch low-voltage magneto ignition in a motor vehicle 1900 – Robert Bosch recognises the importance of trademarks and has his name registered, decorated with vignettes 1902 – Delivery of the first high-voltage magneto and the first Bosch spark plug 1913 – First complete Bosch vehicle electrical system, consisting of magneto ignition with spark plugs, starter, generator, headlights and voltage regulator 1927 – Series production of diesel fuel injection pumps begins 1936 – First Bosch diesel fuel injection in a production car, the Mercedes-Benz 260D 1951 – Development of fuel injection for petrol engines 1962 – Production of distributor-type injection pumps for diesel engines In 1897, Bosch tested his magneto ignition device for the first time in a motor vehicle. He replaced the breakdownprone buzz ignition in a de Dion Bouton three-wheeler with a low-voltage magneto ignition device. After demonstrating the three-wheeler to Messrs. Daimler and Maybach, a proud Robert Bosch wrote to a customer: "Whether at 100 ignitions a minute or 600 a minute, the ignition still works without skipping a beat”

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1967 – First volume production of electronically controlled fuel injection (VW 1600 TL) 1976 – Production of Lambda oxygen sensors, a momentous new emission control device 1978 – Bosch Anti-lock Braking System (ABS) introduced for passenger cars 1979 – Production of Motronic digital electronic engine management (integrated control of fuel injection and ignition) 1986 – Production of electronic traction control (TCS) for motor vehicles 1991 – Production of Litronic automotive headlight system, with High Intensity Discharge (Xenon) lamps 1995 – Electronic Stability Programme (ESP®) for enhanced vehicle stability 1997 – Common Rail Production of VP44 high-pressure diesel injection pump and high-pressure fuel-injection system Common Rail 2003 – 3rd generation of Common Rail, with Piezo-inline injectors 2005 – Night vision system for cars 2008 – Tata Nano, the $2 500 People’s Car powered by a Bosch-designed engine, is unveiled at Auto Expo in New Delhi

The evolution of the Bosch brand and logos

1907 - 1914

1907 - 1914

1931

1919

1981

2001

2004

2008

Bosch Products

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he origins of Bosch as a supplier of automotive equipment go back to 1887. This was a time when the 25year-old electrician and precision mechanic Robert Bosch was not yet manufacturing any automotive technology. The car itself was still very much in its infancy. But this was the year in which Bosch, on behalf of a customer, built a product that was later to play an important role in the automobile – a magneto ignition device for a stationary engine. In 1897, Bosch installed one of these devices in a three-wheeler. The aim of this experiment was to find an ignition system for motor vehicles that was suitable for everyday use. This unwieldy apparatus was a key product of the company. It turned Bosch into an automotive supplier and a multinational corporation. With its magneto ignition systems for cars, Bosch helped to pave the way for motorization in Europe. Then, from 1925, production was gradually shifted to battery ignition systems, which the market was demanding as an inexpensive alternative. Even today, ignition is a Bosch core competence. Ignition systems have been further developed, and are now a part of complex engine management systems. But one thing has remained the same: even today, an electric spark ignites the air-fuel mix and keeps gasoline engines running.

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Safe, clean, economical A mission in just three words

It was in 1974, the year after the first oil crisis, that Bosch introduced the “3S” programme (sicher, sauber, sparsam - safe, clean, economical) to the public. This simple formula encapsulated the corporate philosophy pursued at Bosch for decades, a philosophy which still applies today: to protect vehicle passengers and other road users, to make vehicles economical, and to lower exhaust emissions.

Safe “Safe” relates to active and passive safety in vehicles. Prime examples of this are the ABS antilock braking system (1978) and triggering units for airbags (1980). Bosch set new standards in safety in 1995 with its electronic stability program ESP®. Research results showing the significant drop in serious accidents involving vehicles with ESP® have justified Bosch’s huge research and development spend on safety systems. Systems such as ABS or ESP® are now standard equipment in almost all new cars in Europe or will be so before the current decade ends.

Clean

Economical

The “clean” part of the 3S programme relates to the company’s commitment to reduce exhaust emissions. Here too, Bosch’s efforts in this field go a long way back: as early as 1950, where Bosch recommended the careful adjustment of injection pumps. In 1967 the company’s commitment to a ‘clean’ car was upgraded. This was the beginning of the successful application of electronic management systems for diesel and gasoline engines, which easily complied with all statutory regulations. Above all, Bosch responded to the aim of lowering exhaust emissions with the lambda sensor, which was produced from 1976 onwards. The lambda sensor made it possible to use a three-way catalytic converter, which cuts emissions from a car gasoline engine by up to 90 percent.

The third pillar of the 3S programme has been and continues to be a reduction in fuel consumption. Even 20 years before the programme was inaugurated, Bosch was setting standards with gasoline injection systems in small cars that reduced consumption by up to 20 percent. However, at that time the systems were still expensive and gasoline was cheap, making it difficult to establish the systems in the market. Their main success was in racing cars, due to the enhanced performance they provided. From the 1960’s onwards, however, against the backdrop of increasing oil prices and fuel consumption regulations, the concepts developed by Bosch began to bear fruit. Bosch’s success was primarily attributable to the exact dosage of fuel provided by injection systems and to ignition systems that functioned in a precise manner, and which have been working even better since electronic management systems were introduced in 1967.

Bosch Service the old...

the new

Staff in front of the entrance of the first Bosch Service Centre in Johannesburg

The Road to Business Success

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obert Bosch understood the importance of after sales service, and he launched the Bosch Service workshop concept in Germany in 1921. This concept was later expanded globally, and it eventually found its way to the African continent, with the first Bosch Service opening in South Africa in 1937. 88 years after “Bosch Dienst” first saw the light of day, the Bosch Service network is recognised worldwide as a brand that offers a bumper-to-bumper service model, with 14 500 outlets across the globe, making it the

largest workshop organisation in the world. Southern Africa is well served, with over 160 quality-driven Bosch Service workshops serving the region.

Ewald Faulstich, Robert Bosch South Africa Director Automotive Aftermarket Division, says that Bosch Service is the road to business success.

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He spells out the advantages clearly and unambiguously, “Fewer industries are developing as rapidly as the Automotive Aftermarket, creating substantial pressure for the independent aftermarket workshops to keep up with technological developments. With the growing share of complex vehicle electronics, vehicle systems and parts are becoming increasingly sophisticated, where workshop employees have to consistently keep their qualifications up to date and in line with the technological developments. For example, even the replacement of parts increasingly requires the use of diagnostics test equipment. Furthermore, today’s consumer places greater importance on customer service in addition to quality workmanship and reasonable rates.

and the powerful Bosch and Bosch Service brands, gives you the competitive edge that sets you far ahead of the competition. Without effective marketing, a workshop concept cannot succeed, and marketing is a decisive element of our success. Our distinctive Bosch Service corporate design is the calling card to the motorist. Capitalise on corporate design internally and externally which radiates warmth and professionalism. At Bosch, we support our Bosch Service partners with parts, technology, know-how and a workshop concept; all the essentials under one roof. This is what distinguishes Bosch Service from all other workshop concepts and gives the competitive advantage.”

Facing these challenges calls for an effective and comprehensive support package. The Bosch Service concept is designed to drive the workshop business forward in facing the challenges. As the world automotive industry’s leading supplier of original equipment, Bosch has the definitive edge in knowhow from research and development and especially in the application of new automotive technologies. The Bosch and Bosch Service brands are powerful brands and are recognised for innovative automotive technology, and these brands are synonymous with efficiency and long service life. You and your customer can rely on this recognition. With the workshop concept, diagnostics, service, parts supply

Workshop Challenges The automotive workshop business today is experiencing significant changes • Manufacturers extended service intervals • Growing complexity of automotive systems and parts • Replacement of parts often only possible by using diagnostic tools with corresponding software • Higher qualification of workshop staff necessary • Considerable investment in diagnostic tools and continuous technical training necessary • High customer expectations and demands • Increasing pressure to ensure that servicing quality standards are achieved • Aggressive price competition and demands for full and effective service To cope with these considerable challenges, future-orientated workshops need the support of a strong partner.

Bosch Car Service Partnership for the future Bosch is the original partner in securing the future of your workshop, offering a complete system for the workshop based on:

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• Quality automotive parts at competitive prices • Software and hardware for diagnostics and troubleshooting • Expertise and know-how based on technical support and training • Technical information from the technical hotline • Highly trained field support personnel • Comprehensive warranty programme exclusive to the Bosch Service Network • Internationally recognised Bosch Service Brand • Effective marketing and national advertising • Customer orientation programmes and customer care line • Dedicated website promoting the Bosch Service Network • Secure dealer network online information platform • Awards programme to reward to performing Bosch Service’s • Strategic national deal partnership • Bosch Service Marketing Forum • Service Quality tests ensuring highest level of customer service

Bosch Car Service: Code of Practice

Bosch Diagnostics: The Workshop’s Future

Aim

The Diagnostic Concept

We at Bosch appreciate that it is not always straightforward for a consumer to make an informed choice as to the suitability of the services and standards being offered by a workshop. Quite understandably, many customers do not possess a thorough knowledge of how their vehicle operates and equally, many workshops are unable to completely secure the confidence of customers when they carry out a service or repair. Also, the workshop sector often receives criticism from consumer organizations and the media. The purpose of this Code is to provide consumers with a clear guide as to the standards and practices that a Bosch Car Service will adhere to and upon this basis, we trust, make an informed and favourable decision to use a Bosch Car Service. Bosch Car Services’ are required to comply with the provisions of this Code. These provisions specify how a variety of customer handling measures and trade practices are to be conducted to the benefit of the customer. Furthermore, each Bosch Car Service is required to fulfill all relevant statutory and legal requirements, in particular those relating to Trading Standards, Health and Safety, Environmental Protection and Employment. The procedures outlined in this Code are additional to the legal rights assured to the consumer and the content of this Code is not intended to detract from such laws and their remedies.

Leading edge vehicle technology continues to grow at a rapid pace. In order to remain competitive, South African workshops are finding it increasingly necessary to partner with Bosch Automotive, whose technological advantage gives it the capability of offering a full workshop modular support package, known as the Diagnostic Concept, consisting of Test Equipment, Technical Information, Technical Training and a Technical Hotline.

Test Equipment Bosch Automotive’s objective is to offer the best workshop diagnostic concept to southern Africa’s automotive workshops. The company offers an extensive range of diagnostic and test equipment products enabling workshops to provide superior service for passenger, light and heavy commercial vehicles, whether petrol or diesel. There is a vital and close inter-relationship between the four elements of the Bosch Diagnostics package offered to workshops. Ewald Faulstich, Director Automotive Division at Robert Bosch (Pty) Ltd, describes it succinctly; “It is absolutely essential that the operator participates in all the elements. You cannot have the test equipment in isolation without the ESI[tronic] software modules. There is a certain amount of choice and selection here and the operator will ‘buy-in’ at the various available levels A,B,C,D and so on.

Handling Customer Complaints The Bosch Car Service and Bosch have a firm commitment to customer satisfaction and therefore endeavor to work with the customer to resolve any complaint fairly and speedily. Should the complaint remain unresolved despite reasonable efforts to resolve it, the customer has the option to have the matter conciliated by an independent third party. This section of the Code details the complaint handling procedure.

Customer Participation Customers of the Bosch Car Service Network have a real opportunity to help make the Bosch Car Service Code of Practice work to best possible effect and help Bosch monitor and improve the performance of individual Bosch Car Services’. This section details how customers may assist.

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ESI[tronic] Software

technicians and customers find you getting more and more out of the systems.

ESI[tronic] software is designed with considerable flexibility in that it can be used as “read-only” technical instructions on a desktop PC, or combined with the Bosch KTS Diagnostic Analysers, as the ECU Fault Detection and Erasing software.

Technical Hotline

Training Then a key issue: if you have the test equipment and software, but your technicians haven’t been trained properly, it becomes a pointless exercise. Training on the equipment and the programmes is absolutely essential and will provide you with a paradigm shift of performance in your workshop as your

Another key element is the back-up Hotline facility for our trained customers using the Bosch equipment and software. If at any stage they encounter problems or have queries about what is on the screen, or an intricate diagnostic problem, they merely pick up the phone and dial our hotline for instant support. Our experts will be able to talk them through from screento-screen so to speak and our trouble shooting success rate runs at almost 100%.”

South Africa leads the international charge for Bosch

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n 1906, Bosch had around 600 associates working in Stuttgart, where the company originated. The company had been expanding in Europe since 1898, but now took its first step onto another continent, opening its first sales office in South Africa; a move that practically coincided with the opening of its first office in the US Friedrich Hoppert & Co of Hamburg, which had an office in Johannesburg, was contracted to sell products from Stuttgart. It continued to work for Bosch for the next 40 years. The two world wars had a severe impact on business in South Africa, with the Second World War proving particularly damaging because of the destruction of the company‘s production facilities in Germany. By 1950, Bosch sales and the size of its workforce had exceeded pre-war levels, but activities outside Germany accounted for just 10 % of total sales. Bosch responded to this situation by re-establishing its international activities. In South Africa, Technical Supplies Company (Pty) Ltd in Johannesburg was granted exclusive marketing rights in 1950.

Diesel-Electric and Auto Electrical Engineering Another milestone was reached in 1951 with the foundation of Diesel-Electric, a Cape Town-based subsidiary of the abovementioned Technical Supplies, which was given the job of marketing Bosch diesel and electrical products. The year 1956 also proved, with hindsight, to be an important year for Bosch in

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South Africa, seeing the foundation of Auto Electrical and in 1971 became a Bosch subsidiary and production site in 1976.

Robert Bosch South Africa On August 6, 1965, Bosch founded Robert Bosch South Africa (Pty) Ltd in Johannesburg in order to take charge of sales and to establish local production capacities. In 1973, Robert Bosch GmbH acquired a 30% holding in Diesel-Electric Holdings (Pty) Ltd (DEH), which was also based in Johannesburg and had until then been selling Bosch diesel and electrical products. In 1977, DEH was merged with sister company Robosa Distributors (Pty) Ltd, which handled the marketing and advertising of Bosch products, to form Diesel-Electric South Africa (Pty.) Ltd. – “DESA” for short. In 1983, this company became a wholly-owned Bosch subsidiary.

Takeover and reorganisation The year 1985 also saw a great deal of reorganisation, this time with the merger of Diesel-Electric South Africa and Auto Electrical & Engineering Co (Pty) Ltd to form Robert Bosch (South Africa) (Pty) Ltd, a wholly-owned subsidiary of Robert Bosch GmbH. This company coordinated all activities from production through to sales. In 1998, the new sales centre was opened in Midrand, 70 kilometres from its production facility in Brits, bringing sales into line with the needs of the market in South Africa. Today, some 1 000 associates are employed here and at the Brits plant.

100 Years of Automotive Service to South Africa From the automotive industry to the home DIY, Bosch is a brand that is trusted by South Africans. Bosch merchandising ensures that clients actually buy peace of mind and a product that is “invented for life”. Thus Bosch is positioned as the best in class provider of automotive products, power tools and security systems in South Africa. The company’s main aim is to improve quality and life through leading technology and innovation advancements for all target groups. These groups are supported by the respective divisions and their business concepts. The Automotive Division encompasses automotive parts, diagnostics and workshop concepts.

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urrent major accounts for the Automotive Division include all vehicle manufacturers (OEMs) and P&As in South Africa, Diesel-Electric, the Midas Group and AutoZone. The division is responsible for taking its own message to the market with regard to new products or technological developments. To enhance the brand, sales and marketing initiatives are all adopted from centralised corporate guidelines from Bosch’s parent company in Germany. The Bosch brand is also visible at exhibitions and other public events such as the Johannesburg International Motor Show and Automechanika South Africa. A major highlight was the centenary event in 2006, “100 Years of Bosch in South Africa”, which underlined the success of the company over the last century. The brand is further enhanced via its e-commerce website, where Bosch conducts business online for efficient and effective customer service. Bosch believes that innovation today ensures business tomorrow. The Bosch values steer all company actions, a continual guide to priorities and commitments. Ewald Faulstich, Director Automotive Aftermarket Division at Robert Bosch (Pty) Ltd since 2000, says that the South African operation is committed to upholding the traditions of the organisation, and he is proud to represent a company which is so all embracing. “Original equipment supplier, replacement parts, workshop equipment, diagnostics in all its facets, technical training, technical and warranty support, a customer hotline, and the commitment that goes with these services, I strongly believe that there is hardly any other company within the automotive environment that fits the “one for all” title better than Bosch. Consequently, we from Bosch, as the world’s largest automotive supplier, want to leverage our systems competence for the benefit of the independent aftermarket. This is our future; this is our destiny, for the next 101 years.”

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WesBank - the Dealer Bank The WesBank brand has become almost iconic in South African society. Long known as the ‘Wheels Bank’ it has grown to become the country’s foremost vehicle and asset finance company. The organisation also provides fleet finance and fleet management services, finance for expensive capital equipment for business, import finance and a full range of insurance and value added products.

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he bank’s success is due in no small part to the partnerships it has established with dealerships. Dealers are provided with finance for showroom stock, training in finance and insurance, as well as optimal dealer operations. It is through these partnerships that WesBank is able to integrate the finance solution with the purchase, providing customers with optimum convenience and the quality customer services. The partnership business model has served the bank well – so well that 90% of business is currently conducted through partnerships.

A Long History WesBank’s origins can be traced back to the late 1800s when Robinson South African Banking Company was established in London. By the early 1900s the company was known as the Colonial Banking and Trust Company Limited. In 1968 Colonial Bank & Trust Company merged with Western Credit Africa Limited, a company which focused on finance for the motor dealer, and seven years later the company was acquired by Barclays Bank and became known as WesBank, ‘The Wheels Bank’, thus establishing the brand that is known today.

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Service the Key The bank’s service orientation has been well entrenched since the first ‘Wheels’ campaign was launched in 1979 and which promised finance in 15 minutes, to the Leon Schuster ads of the mid-90s. To this day service excellence forms the cornerstone of the bank’s offering with the organisation’s chief executive insisting that employees do not allow the sun to set on a customer complaint.

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n 2001 WesBank underwent a brand invigoration exercise. The result was the birth of a compelling brand personality supported with a new communications campaign which reinforced the bank’s strong service ethic. The campaign utilised the payoff line, ‘Our customers thank us for our great service in the strangest ways. WesBank – Put us to the test.’ One of the pillars of the brand offering has been the assurance that the bank is able to deliver on its service promise. Based on its philosophy of service, WesBank has received more than its fair share of awards: it was awarded top brands status in both 2006 and 2007 by the Sunday Times and has been rated the number one vehicle finance company for seven consecutive years by PricewaterhouseCoopers. In 2007 and 2008 it was also rated the best large company to work for by Deloittes. In fact, since 2003 the brand has experienced significant growth in its business-to-business division. This has been a strategically fortunate move as the corporate market has proven itself to be more resilient to the peaks and troughs experienced by the consumer market. It is anticipated that the business-to-business division will overtake the bank’s motor vehicle finance business in the next few years.

WesBank’s employees are not allowed to let the sun set on a complaint – and this stellar theme was carried through to WesBank Christmas cards, and the subliminal promise to take their customers to the stars.

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A String of Firsts

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esBank has achieved a number of firsts in its long history: it was the first vehicle finance company to have a presence on dealer floors and the first to write R100 million worth of new business as early as 1982. Its growth prospects have continued to exceed expectations with the result that today one in three cars is financed by WesBank. The company has a strong presence in the corporate asset market and dominates in the personal loans middle market. Purchasing vehicle finance was typically a disjointed and disconnected process until WesBank pioneered the concept of

bringing the product to consumers and acting as an agent for both the bank and the dealer. WesBank was also the first company to provide customers in remote rural areas with the opportunity to interact via video with finance and insurance specialists, the first to provide dealers with a business intelligence portal, the first to market with an Islamic Shariah approved vehicle finance offering, the first to introduce a patented digital pen which removes the need for paper and allows deals to be captured directly to the bank’s scoring system thereby providing real-time loading of applications, and the first to introduce partner marketing and job creation finance.

Soweto Street Race Wesbank was the first company to bring the thrills and spills of motorsport to a Township in July 2009 with the Wesbank Street Race in Soweto. More than 20 000 Sowetans came to see what motor racing is all about.

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Turning decades of experience into expertise

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he bank’s most recent television campaign was launched in May 2008, the first fully fledged brand repositioning to come from the organisation in more than six years. Prior to the launch of this campaign the bank was, to all intents and purposes, ticking over from an advertising perspective as it turned its focus onto the aggressive development of its partner based business model. WesBank has long relied on its business model for differentiation from its competitors. There is no doubt that this strategy served the organisation well as its revenue in the corporate and retail markets grew substantially with the addition of value added services. In addition to significant growth in the asset finance business, it also grew its business in terms of financing aviation, yellow metal and heavy machinery. However, the ‘Wheels Bank’ premise was no longer providing the brand with any advantage. A comprehensive internal and external brand research process ensued which resulted in the formulation of a new positioning for the brand. No competitor is able to adopt this unique positioning as WesBank is the only organisation to occupy the specialist asset finance space at this stage. In formulating the new campaign and commercial, the challenge was to identify credible ways of demonstrating the bank’s expertise and knowhow and communicate this to the various target audiences. The new campaign also needed to stretch WesBank’s stronghold from only vehicle finance into the broader category of asset finance while at the same time creating the same differentiation on a brand level. In a significant break away from previous advertising, the new television commercial sent a powerful message about its people’s expertise and know-how in a sophisticated and contemporary manner. The campaign builds on its previous brand positioning as service champions, with an enhanced promise of expertise and know-how. Based on a recent

international study which set out to discover where true talent comes from, the new commercial is called ‘the source of talent’. The study found that practice does ultimately make perfect, supporting the view that WesBank’s 40 years of experience and expertise stands it in excellent stead going forward. Based on this finding, the commercial, developed by Johannesburg-based advertising agency Ogilvy, depicts a montage of individuals from different disciplines all set on perfecting their craft through practice. The precision and perfection of the different art forms portrayed in the commercial are intensified through ultra slow motion filming. This was achieved by shooting the footage at 2 000 frames per second. Essentially the commercial communicates the fact that being an expert in your field does matter. To support this view, the payoff line, ‘WesBank – We know how’ was developed. This line is also used in internal communication although it is always contextualised. The campaign was launched at the end of May 2008 with a fairly aggressive television burst. The campaign was supported by a print campaign which included functional messages depicting what the organisation actually does, and the campaign continues in various forms in 2009. The bank has become even more conscious of each experience the customer has with the brand as a result of the launch of this campaign. To this end it has identified customer touch points such as the dealer floor, contact centres and the Internet as examples, where it measures the outcome of the customer experience. WesBank’s latest campaign signals the coming of age of a highly successful brand with a long history behind it. It’s a bold promise which the bank is not unaware of, but that it believes it has the ability to meet and deliver. And the dream and reality continue.

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There is More to Midas Sitting in the traffic on the way to the Midas Group’s head office in the heart of industrial Johannesburg makes one realise how pervasive this group is to the national motor industry. With the national vehicle park’s average age estimated at a decade or older, few can claim not to know the Midas touch, whether it is for replacement wiper blades at a Midas before a Highveld thunderstorm or to fix the trailer’s wiring at a Motolek-branch before the trek to the Kruger National Park. Still others can speak off the work done by ADCO, CBS, and Auto Care and Diagnostics, when the noise under the bonnet signalled more professional help.

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t is true that a lot has changed in the forty plus years since a couple of entrepreneurs started Midas in the late sixties. Looking at the Midas storefront and the company’s long established base in Meadowdale on Johannesburg’s East Rand, attached to a massive warehouse and amongst part manufacturers, mechanics and vehicle dealerships, shows that much has stayed the same. From this goal came the internal motto that guides all Midas operations, “Delivering the promise”. The Midas-motto has remained true throughout the years, but the company grew and changed in tune with the South African economy. From humble beginnings in the era where Ford and Chevrolet reigned supreme, Midas now serve the local market via hundreds of stores selling more than 600 tonnes of automotive related products and equipment each month. Mirroring the changing demographics of the country that gave it life, Midas-stores are owned by hundreds of entrepreneurs in their own right, from every race, creed and background. These entrepreneur-driven stores now serve drivers of over 50 brands of vehicles in a country where less than 150 model choices in the swinging sixties blossomed to a peak of more than 2 000 options by the time the country celebrated 10 years of peaceful democracy.

The early years Midas, in concept, first opened their doors to the South African public in 1968. Even in these early years the company saw a need for a trusted supplier of vehicle parts. The company explains that the goal then, as it remains now, was to offer value for money products that would save motorists money, but to stay well clear of so-called white box parts that offer a fire sale price but that burn your fingers in the end. Rolf Gudegast, chairman of NAPA and a member of Midas since 1976, explains the Midas mindset and development: “A great deal has been achieved in a relatively short history. The next quantum leap in our business was achieved with the decision to support primarily the local component manufacturing industry and its leading brands and the introduction of bulk buying, together with the revolutionary dropshipment concept. Those decisions added new dimensions and created the foundation for the NAPA buying group and the Retail and Workshop franchises”. Time moved on and Midas found that their recipe for success, being a mixture of the ingredients quality, range, availability,

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price and advice, stood the test of time. The company entered the era of neon clothing, of Billy Idol and of horrific car colours, with a commanding market share and a now well known presence throughout South Africa. It was in the booming Eighties that the Midas success story found its way across the boardroom table of the Johannesburg Stock Exchange, then still in the heart of downtown Johannesburg. After thorough investigations and negotiations the management of Midas rang the opening bell of the JSE in early May 1986, as is the privilege of any newly listed company. Shares started trading immediately and continued to do so for the next 16 years.

Building the business Since listing Midas Ltd. found itself in the spotlight of investors as much as it has been in that of the motoring public. With a sound business model and solid foothold in the country where a car was far more than a means of crossing South

Africa’s wide open spaces, Midas was able to gain access to investor funds to oil the wheels of its expansion plans. The model was simple. As Midas has done for the aftermarket replacement parts market, so it could do with a myriad of similar related sectors. The company expanded upstream to part sourcing and supply and downstream to other sectors of the automotive market. Midas became a corporate force to be reckoned with and yet, as the structure of its businesses will show, it never chose to flex its muscles and in the process lose its character as a trusted source of automotive help. It was perhaps this company motto that lead the Midas management to a structured buy-out and de-listing of the company in early 2002. Business has grown, yes, and investors could find little fault, but in the arena of public investing a drive for profit often times pays little heed to long term goals for stable and responsible growth. Midas, the company, phased its move away from the bourse in two steps. In 2002 it de-listed and started trading as the private company it was before 1986 and soon afterwards, in 2003, it completed the process by welcoming a selected group of partners into the business. Money talks, they say, so an analysis of the shareholders’ structure after de-listing speaks a lot of the true Midas nature. In forming the private company Midas stayed in character and it invited its franchises and a broad based black empowerment group under the leadership of the well-known Jomo Sono to head into the future with them. Shares between these groups and the Midas management were divided almost equally and this gave the company broad and balanced representation. Midas also proved, by preempting any pressure from government and lobby groups, that it was willing to transform the business and that including partners from previously disadvantaged backgrounds was a sound strategic business decision. Further proof to Midas’ nature of being pro-active is clear in the structure of its franchise operations. The company invited franchisees from all corners of the country, and its immediate neighbours, and from all walks of life to buy into the Midas success. By doing this the company gained strong demographic representation even before it became a political prerequisite.

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The franchising model is simple and mirrors the shareholding approach. Midas invites existing automotive retailers, service centres, clutch and brake specialists or autoelectricians to join its network, if their store and their level of service comply with the strict Midas requirements. Once you get accepted, however, your title changes to “Associate” and you become a true partner.

Midas today Midas-franchises may be immediately recognisable by its orange and black colour scheme, but the size of the Midas Group may surprise most. With 430 franchises and 9 major distribution hubs, Midas is by no means a small player. The company remains adamant that it relies on the success of its franchises for its own success. That is why the company aligned its corporate division to serve franchises, notably through marketing and advertising, bulk buying, aligning logistics and distribution services and offering in-house support, such as through its free marketing and advertising support division. Out of the hundreds of franchises, Midas itself owns only 14, which it uses as a direct line of communication from shop front to managing director and as a marketing surveying tool to help gauge its product and service offerings. The company further supports more than 7 000 independent stores and service centres through its purchasing and supply co-operations.

The big boys Napa, PIA and Autocycle Centre might not ring a bell to someone looking for a quality replacement clutch kit at a Midas store in Bloemfontein, but to Midas franchises and the thousands of other dealers, service centres and even suppliers these names means better prices through combined purchasing clout.

The National Automobile Parts Association (Napa) was one of the first divisions to spawn from the original Midas. Formed in 1973, Napa set its aim on serving the retail sector and its members through co-operating on marketing and buying operations. The network now reaches from Namibia to Botswana and everything in between and it has become a de facto market for many products in this sector. The slogan “Delivering the promise” does of course take a whole new meaning, with Napa serving its members and not the general public. Parts Incorporated Africa (PIA) shares many of the goals of Napa and has as its core focus the vehicle parc between 4 and 12 years old. The company offers products to its thousands of retail members through a modern trading platform that allows retailers and franchisees to make informed purchasing decisions based on market trends and the flow of order data. The system relies on a state of the art software system that allows for trading between members and PIA itself and it is powerful enough to transact thousands of invoices per day, with the current count measuring more than 11 000 every day. Midas’ third business to business division is its Autocycle Centres. This division serves the somewhat smaller motorcycle and quad market with products and services that are similar in approach to that of PIA, but far more focussed on anything that requires a helmet to ride. Here the company serves a multitude of small and large aftermarket service and repair shops and its range of products extend to virtually any part of the motorcycle community, including niches such as Moto-X with dedicated brands such as AMA and Izumi.

Defining Midas – the franchise network The Midas franchise shares more than just a name with its mother company and it is clearly the company’s proudest achievement. Through its network of 265 Midas stores in South Africa and all of its neighbours Midas (the group) has

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a way of delivering the promise directly to vehicle owners in southern Africa. It is indeed this direct line to Joe Public behind the wheel of his trusty old bakkie allows Midas to align its products and pricing to serve the customer and in doing so offer far more than other wholesale-only operations. To prove this point Midas points to the fact that there are stores in virtually any part of the country, including four stores in Soweto, a fast growing market for its products. The Midas team has much to say about the Midas-franchise benefits. Products and services are all guaranteed for 12 months, nationally, and Midas counts more than 1 000 qualified sales and service advisors amongst the team that supports the Midas franchise network. The Midas franchise has also increased its range of self-branded value products, which offer high quality, but at a lower cost. Starting with basic necessities

such as Midas-branded motor oil, the range now reaches products such as professional tools with a lifetime guarantee and Moto Part quality guaranteed vehicle replacement parts. Motolek is the second largest franchise in the Midas group’s network. Having been incorporated into Midas early in its existence and boasting more than 25 years in operation, Motolek seeks to serve the “Do It For Me” (DIFM) market with autoelectrical services that range from wiring, fault finding and general engine diagnostics to alarm systems, tracking devices and even cellphone hands-free car preparation. The Motolek concept has also expanded to include Battery Hub operations, which offers a range of well known and self-branded vehicle

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batteries and all services associated with it, including battery testing and advice. Midas has grown this division to 60 stores nationwide, with more than 40 stores offering Battery Hub services. As with the Midas franchise, each product and service carries a national guarantee, even though each Motolek store is still the proud operation of an entrepreneur. ADCO joined the Midas fray in preparation for, and ultimately as an answer to, the growing sales of modern diesel vehicles. Using the same model of approving and in pre-existing specialist stores under the ADCO-brand and Midas promise, this division quickly grew to more than 40 stores. ADCO, as Motolek and other divisions such as CBS, offers the added benefit that it is qualified to service vehicles from your trusty old farm tractor to the major interlink heavy duty trucks that serve the nation. It also has, through Midas’ whole-

sale divisions, access to the best and most modern equipment and parts from heavyweights such as Denso, Delphi, Stanadyne, Hartridge, IHI and Yanmar which the Midas Group exclusively supply. Bosch and Zexel are also among the leading brands supplied by Midas Group. All these brands are well known amongst original equipment manufacturers, which chose these parts when designing their vehicles. The ADCO network also offers a nationwide guarantee on parts and service on everything it does, from repairs or replacement of highpressure diesel injectors to turbochargers and diesel pumps. OK, so replacement parts, auto-electrical concerns and dieselrelated problems and service is covered. What remains? A lot,

says Midas, who also boasts a network of clutch and brake specialists through the CBS franchise network. CBS applies the same success recipe to this market by stocking well known and respected products from names such as LUK and Fras-Le, offering qualified service and assistance on everything from brake cylinders and shoes to clutches and pressure plates, backing the service through a national guarantee and again spreading its service from passenger to commercial vehicles. The younger CBS network has already grown to more than 18 stores. Auto Care and Diagnostics (ACD), the vehicle service and maintenance specialists, is the newest kid on the Midas-block and it is proof of Midas’ ability to gauge the market and proactively reacting to modern trends. In this brave new world where a computer chip controls everything from your window mechanism to your fuel injection mixture, Midas recognised the need for assistance to owners of these vehicles. ACD is being developed with modern vehicles in mind, recognising that the world is changing, but that vehicle owners will always look for a helping hand and will no doubt turn to the name they have trusted since the sixties.

Work/Life balance Need further evidence that Midas has its ears to the ground of the South African motorist? Here is your proof. Through years of studying the market, Midas recognised that it could apply its promise to some, seemingly unrelated market segments. Given this feedback from its franchises and markets,

Midas quickly moved to incorporate lifestyle products into its philosophy and its product strategy. This has lead to Midas now importing and supporting products ranging from Patriot cycles to fishing gear from big names such as Okuma, Loomis and Franklin, Bandit and SureCatch and even outdoor gear from names such as CampGear.

The future Looking at Midas, it is clear that much has changed since the early days of ’68. It is also very clear that Midas, under the direction of managing director Gordon Odgers and his team, has stayed true to the goals it set when it first opened its doors. This approach has given Midas the self confidence to tackle a brave new world where money is tighter than ever, but where the Midas offering of value and advice has become even more attractive. But the world is changing and Midas is listening attentively. Vehicles are becoming more and more complex and many people are turning to Midas not only for assistance in doing it themselves, but also for help in getting it done. In this world Midas is already well positioned with franchises such as Motolek, CBS, ACD and ADCO, but more is to come. Through this, Midas concedes, it is heeding the call from the growing population of female vehicle buyers and the growing black middle class, but even more it is staying true to its internal motto and to the motto that everyone knows it by, “There is more to Midas”.

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Go Green…..Go Willard Willard Batteries is a brand name that has become woven into the fabric of South African life. This is the result of long ongoing relationships with people in a variety of sectors and in many walks of life and not just motorists. From the informal townships in which electricity wasn’t always available - to people in their professional capacity - like telecommunications, mining, farming or warehousing.

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f course, massive distribution and nationwide availability of the brand, has resulted in many thousands of Willard Batteries signs acting as a regular subconscious reminder and endorsement of the market leader. Batteries are somewhat different to most other automotive and industrial products in that they are perishable. This has provided the opportunity of building strong relationships in the trade through regular contact. To service the variety of user markets properly and efficiently, a formidable supply chain structure has been put in place, giving a massive range of customers exactly what they need when they need it.

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recount one of the most exceptional environmental success stories associated with the South African automotive sector; the recycling of lead-acid batteries. For some time Willard Batteries has been making a significant contribution to the ‘greening’ of South Africa. Its ‘Go Green, Go Willard’ campaign, in which motorists are encouraged to bring old batteries to Willard outlets for recycling, has been a resounding success and has helped to make our country cleaner and its citizens healthier.

As a trusted power solution provider, Willard Batteries is able to address the needs of a vast array of challenges, industrial and automotive. In fact, together with a network of overseas affiliates, there is no application that cannot be met, from Auxiliary power and Battery Bays to Utilities and Wireless Network backup and everything in between.

A portion of the proceeds of the recycling operation is donated to Food & Trees for Africa, a local award winning non-profit organisation tasked with the planting of trees in areas that need them most. This commitment is indicative of the positioning of the Willard Batteries brand, targeting the more traditional and conservative automotive and industrial consumer and encouraging a partnership responsibility for the environment.

Willard Batteries has also built a reputation as a good and concerned corporate citizen. Working closely with many customers, there has been a commitment to focus on the positive aspects of the battery and stored energy industry, to give something back and play a role in nation building.

Willard Batteries started trading in 1954, under licence to the American company ESB. It focused initially on the manufacture of automotive batteries, but introduced industrial batteries in 1966, followed by the manufacture of motive power and stationary batteries in 1967.

With environmental issues having emerged at the forefront of the global political agenda in recent years, it is appropriate to

Willard Batteries was acquired by Powertech in 1981, becoming a 100% South African-owned company in the process.

It also attained a unique position in the domestic battery manufacturing arena by becoming the first South African manufacturer to be awarded the Quality Management System 0157 Part II listing for its automotive production facility. It was later awarded the same listing for its industrial operation. In June 1988 this was changed to the SABS ISO 9002 quality accreditation, to be followed by all the important quality ratings - including the ISO 14001 and OHSAS 18001 approvals, the Ford Q101 rating, the VDA6 rating, and the ISO/TS 16949:001 rating. One of the most significant of the standards is the ISO 14001:1966. This is an international voluntary environmental management standard aimed at minimising the harmful effects on the environment caused by an organisation’s processes and activities. Importantly, it provides a framework of control for an Environmental Management System against which a third party can certify an organisation. This standard is applicable to any organisation that wishes to: • implement, maintain and improve an environmental management system • assure itself of its conformance with its own stated environmental policy • demonstrate conformance • ensure compliance with environmental laws and regulations

A portion of the proceeds of Willard Batteries’ recycling operation is donated to Food & Trees for Africa, a local non-profit organisation tasked with the planting of trees in areas that need them most.

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With increasing environmental consciousness have come increasing demands of businesses, as well as their customers and suppliers, to demonstrate higher levels of commitment to the preservation of the environment and the conservation of natural resources. Willard Batteries’ PE site embarked on the road to certification on the ISO 14001:1996 Standard in 2001. Initially, the project seemed insurmountable as the number of environmental hazards present at the site at the time meant that certification would be a challenging exercise. Nevertheless, Willard Batteries was committed to the achievement of the ISO 14001 certification. A generic environmental management system was sourced and adapted to battery manufacturing processes and activities. ISO 14001:1966 certification was finally achieved in June 2004 and Willard Batteries became the first lead acid battery company in South Africa to achieve this certification. As a member of the Powertech Group, the Port Elizabeth company became the first in the group to achieve this status.

The road to certification for Willard Batteries on this Management System was less challenging than its ISO 14001 certification, with fewer hurdles to overcome. The management of Willard Batteries’ PE site committed to achieve OHSAS in 2007. Implementation of the System took almost exactly a year. The certification audit was conducted in early December 2008 at the end of which Willard Batteries PE site was recommended for certification on OHSAS 18001:2007. The recommendation was accepted by the certification body in Germany. The Port Elizabeth lead acid battery manufacturer is, once again, the first lead acid battery manufacturing company in South Africa to achieve this accreditation. Willard Batteries considers its employees its most valuable assets and undertakes to safeguard them, as far as reasonably practicable, from injury or damage to health arising from any of the operations or activities associated with its business. OHSAS 18001:2007 regulates this commitment and the certification will bind the organisation to this commitment.

Subsequent surveillance audits maintained the certification. The Standard had, meantime, been upgraded from the 1996 version to the 2004 version. The company achieved certification on the new Standard in June 2007 and has since been successful in a subsequent surveillance audit in June 2008. A second audit was conducted in December 2008. This audit, too, was successful.

Willard Batteries remains committed to the preservation of the environment and the conservation of natural resources. Passing another milestone, Willard Batteries also achieved OHSAS 18001 certification at it PE site. OHSAS 18001 is a certification specification for Occupational Health and Safety Management Systems. OHSAS 18001 is an audit/ certification specification, not a legislative requirement. Organisations registered to OHSAS 18001 can be more confident about meeting the requirements of OHS legislation and creating a workplace that is safe and without risk to the health of its employees.

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New Technology in the Latest Generation Batteries Previously, the aftermarket batteries manufactured at Powertech Batteries’ Port Elizabeth plant were defined as hybrid batteries – consisting of one plate calcium coated and the other plate coated with the previous generation antimony based alloy. The latest generation calcium-calcium silver plus batteries have both plates coated with calcium, which equates to a high performance battery with a higher charging rate. These batteries require very little maintenance and under normal conditions will never need topping up with water. With the electrodes now being manufactured in a continuous process, to much closer tolerances – together with tamper free caps – modern Willard Batteries have the benefit of not requiring maintenance by the motorist.

Other Willard Battery features include: • Expanded metal technology plates on both positive and negative electrodes • The new patented positive calcium-silver grid alloy results in improved corrosion resistance • Improved technology and equipment for curing provides much stronger electrodes • Products are assembled on new automated assembly lines for improved consistency and product quality • Water consumption is reduced even further with the use of calcium alloys • Improved self discharge characteristics. The use of calcium alloys allows for a longer shelf life compared to hybrid batteries • A high performance battery putting out high Cold Cranking Amps • Low self-discharge provided there is no electrical drain on the battery Powertech Batteries continues to develop its manufacturing activities in its plant in Neave Township, Port Elizabeth. Production takes place at the same location where it all started for Willard in 1954. The production line has been constantly upgraded and today has a capacity of around two million batteries per annum. It is a cutting-edge, high technology manufacturing facility that will not be out of place in any country of the world.

Behind the Recycling Process

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he recycling of lead-acid batteries is a multi part process. Initially the battery is broken apart in a hammer mill. The broken pieces go into a vat or flotation pond where the lead and heavy materials sink to the bottom while the plastic remains afloat. At this stage of the process the polypropylene pieces are scooped away and the liquids are drawn off leaving the lead and heavy metals behind. The polypropylene, or plastic pieces are washed, air dried and then melted together into an almost liquid state. The molten plastic is then put through an extruder that produces small uniform plastic pellets. These pellets are then used to manufacture new battery cases. The lead grids, lead oxide and other lead parts are cleaned and melted together in a smelting furnace along with additives used to help in the removal of impurities. The molten lead is poured into ingot moulds. After a couple of minutes, the impurities, or dross, float to the top of the still molten lead in the moulds and is scraped away. The ingots are then left to cool. Once they have cooled they are removed and are then ready to be re-smelted to produce new lead plates and other parts for new batteries. An additional aspect of Willard Batteries’ commitment to the environment is its association with Arbor Week. This has involved the planting of trees at selected schools around the country. For Arbor Month 2009, the focus shifted to organic food gardening at schools. A number of schools were selected according a set of criteria and were given a Permaculture Starter Pack that fitted their specific needs. Permaculture is much more than organic food gardening. It is a response to the environmental crisis we face on our planet and is about designing a system to provide food harvested from plants that are integrated into the local ecology. Thus humans become ‘part of ’ rather than ‘separate from’ nature, natural systems and cycles. Willard Batteries’ support of these projects – which had a competition element linked to them so that scholars were more easily motivated to participate – is expected to aid the development of communities by enhancing diet and nutrition, and expanding their members knowledge and skills base. To attain good health and nutritional status, people need sufficient knowledge and skills to grow their own fruit and vegetables. Linking nutritional education through Permaculture at school level breeds good practices at household and community levels. Sustainable food gardening in a school setting will inevitably influence home gardening and in other areas, communal gardening, which are important in improving food security – and the health of all South Africans.

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Nissan – a Global Player with true South African Roots

Nissan South Africa can trace its beginnings back half a century, to 1959, when the company called Datsun Motor Vehicle Distributors was formed. The first vehicles imported from Japan were 38 one-ton pickups, which arrived in 1960, and local manufacture, from completely knocked down units, started in Durban in 1961 with the launch of the Bluebird passenger car.

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he importation and local assembly operation was followed by the establishment of manufacturing facilities at Rosslyn, near Pretoria, and Nissan and its forerunner Datsun have provided transport solutions for South Africans ever since, while making a significant contribution to the development of the local motor industry. Today, with the transformation of the country and along with it the unrestricted, and highly competitive, motor vehicle market, Nissan is well placed to continue its role in the South African automotive market. Nissan currently enjoys around 10% of the total South African vehicle market with a comprehensive range of passenger cars and light, medium and heavy commercial vehicles as well as recreational and specialised vehicles. To meet its objective of significantly growing its market share, Nissan South Africa is currently engaged in a dynamic programme of new model introductions. A total of over 2 500 people are employed by Nissan in South Africa and, as part of its social responsibility efforts, the company is committed to training, educating and advancing its workforce to the maximum potential of each individual. Other elements of Nissan’s investment in upgrading the social fabric of society focus on adult and child education, child welfare and job creation. Nissan

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can trace its roots back to 1911 when the Kwaishinsha Automotive Company was formed to produce the first Datsun cars in Japan. This company was taken over in the early 1930s and the Nissan Motor Company was first registered. As Nissan became more and more established as a global motor manufacturer, US production facilities commenced in 1980 and the UK plant opened in 1984. By the 1990s, Nissan was acknowledged as a world leader in technology with many of its international manufacturing facilities being the envy of its competitors. Motor industry expansion continued and it became obvious that global production overcapacity was becoming a reality and motor companies began to suffer, including Nissan. To ensure their survival into the new millennium many motor companies - including some old established names - were taken over and others formed international alliances. In 1999, Nissan Motor Company formed a strategic alliance with France’s Renault group. The alliance between Nissan and Renault was a natural fit as the two companies were of similar size, the products fitted extremely well and their respective strengths were generally in different markets. The alliance created the fourth largest automobile company in the world.

In 2000, Nissan Motor Company Limited increased its investment in South Africa by purchasing the 37% stake which the Sanlam Group held in Automakers. The investment gave Nissan Motor Company control, which was subsequently increased to 98,7%. In 2001 the South African company’s name changed from Automakers to Nissan South Africa. Nissan South Africa’s vehicle assembly and manufacturing operation in Rosslyn is a leader in South Africa with regards to sound environmental practice in its manufacturing process and has won numerous awards and recognition both locally and internationally for its environmental efforts. These include the exclusion of chlorofluorocarbons and other harmful chemicals from all phases of its manufacture, chemical and other waste management; water and power savings efforts; a man made wetland which is a catchment area for storm water; recycling; and working closely with its numerous suppliers and dealers to ensure sound environmental practice. All Nissan vehicles benefit from Nissan’s international lifecycle approach of environmentally sound vehicle design, use and recycling.

Essential to the ongoing success and growth of Nissan Manufacturing is access to Nissan’s worldwide technology, research and development input has already been incorporated into Nissan vehicles in other parts of the world where similar climate and road conditions to South Africa are found. The investment by Nissan Motor Company of Japan into Nissan SA further facilitated this close technological cooperation.

Among the company’s achievements are: • The first South African motor company to achieve the internationally recognised ISO 9001 and subsequent 14001 quality certification from the SABS in all its plants. • An autospray facility to give Nissan vehicles a quality paint finish in line with the best in the world. • All production lines are highly automated to ensure consistent quality. • All Nissan vehicles undergo the company’s unique e-coat anti-corrosion process prior to painting and consequently have a three-year rust and corrosion warranty. • All phases of the assembly process make extensive use of computerisation for tracking, quality standards and vehicle testing. • Awarded the highest safety rating, Noscar, by the National Occupational Safety Association for 20 consecutive years. Nissan is currently the only South African motor manufacturer to hold this award. • Two National Productivity gold awards for productivity advancement.

Racing improves the breed

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issan and motor sport are synonymous in South Africa. The Rosslyn-based company, which has its own state-of-the-art motor sport department in Midrand, where it designs and builds off-road racing Navara pickups for both domestic and international competition, has long recognised the benefits of motor sport as a valuable marketing tool and brand image builder. Success over the years in all forms of motor sport, from circuit racing to rallying and off-road racing, has built a reputation for performance, reliability and durability as well as a large, vociferous and knowledgeable fan base throughout the country and in neighbouring

states. It was soon after the first Datsun passenger car arrived in Durban in knocked down form in 1961 that the reigning South African champion rally driver, Ewold van Bergen, bought a 1200 cc Datsun 310. A mechanical engineer, he can justly be regarded as the father of Nissan’s motor sport career in South Africa. He developed the little Datsun into a potent rally machine and attracted the attention of Datsun in Japan. He became a technical adviser and thus began a successful collaboration that was to last for some 15 years, while he established himself as one of the all-time greats of South African rallying, winning a further three drivers’ championships and assisting Datsun to win the manufacturers’ title five times.

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Old-timers will fondly remember the Datsun SSS, which made its first appearance in rallies in 1969. Van Bergen, who joined Datsun full-time in 1966 as a development engineer, was intimately involved in the development of the SSS, both as a desirable road car which set new standards of driving pleasure and as an all-conquering rally car. This was the car that a young Sarel van der Merwe started his rally career in, finishing a remarkable fourth overall in a standard 1600 SSS in his first Total International Rally in 1973. Another all-time rally great, Jan Hettema, drove for the official Datsun works team in 1978, a notable year for the company as it was the number one selling brand in South Africa. In 1980 Hannes Grobler began a career as a Nissan works driver that was to last right up to 2009 and result in 10 national rally and off road championships. In 1986 he won both the national off road and rally championships – the only driver to achieve this feat in the same year. Datsun was also a name to be reckoned with on the motor racing circuits in the 1970s, with drivers like Sarel van der Merwe, Jan Hettema, Hennie van der Linde and George Santana. Datsun changed its name to Datsun-Nissan and then Nissan in the early 1980s, but the success rate of the Japanese cars in motor sport remained unchanged. Van der Linde enjoyed a remarkable string of saloon car championship successes in the 1980s, winning the title in 1984, 1985 and 1986 in Nissan Skylines. Under the leadership of current motor sport manager Glyn Hall, Nissan Sentra touring car drivers like Grobler, Nic de Waal, Duncan Vos and Giniel de Villiers helped develop the basis for the Nissan Primera that won four successive touring car championships from 1997 to 2000 with De Villiers at the wheel. With the demise of the formula at the end of 2000, Hall and his team quickly transferred their skills and enthusiasm to the national off-road racing championship. Nissan Motorsport won the production vehicle championship at its first attempt in 2001 in stiff competition with Toyota, Ford and Mitsubishi

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and has gone on to remain unbeaten for nine consecutive years, first with the Hardbody and then the Navara. Nissan’s success in the domestic off-road championship with the Hardbody developed by Glyn Hall and his team saw them being commissioned to build two pickups for French Nissan dealer team Dessoude to enter in the 2002 Dakar Rally. Five stage wins underlined the competitiveness of the South-African built Hardbody and resulted in Nissan Japan entering the 2003 event with three pickups for former Dakar winners, Kenjiro Shinozuka of Japan and Finland’s Ari Vatanen, plus De Villiers.The Proudly South African Hardbody pickups proved their mettle with De Villiers finishing fifth and Vatanen seventh. Hall and his team were then entrusted with the development of an evolution truck for the 2004 Dakar. Four were built in Midrand and lined up at the start in the hands of Vatanen, De Villiers, Frenchman Yves Loubet and Colin McRae of Scotland.It was a much tougher Dakar than 2003. Loubet and Vatanen retired, McRae finished 20th and De Villiers was again the top Nissan finisher in seventh place. Nissan enjoyed its greatest Dakar success as a factory team in 2005, when De ViIliers finished fourth in the Proudly South African Hardbody. There was no works involvement in 2006 or 2007 and the event was cancelled in 2008 because of security concerns in some African countries. In 2009 the Dakar moved to South America and four privately entered South African-built Nissan Navaras took part. Norwegian Ivar Tollefsen and Briton Quin Evans performed a memorable giant-killing act of finishing a remarkable fourth overall, one place ahead of Pole Krzysztof Holowczyc and Belgian Jean-Marc Fortin. Nissan Motorsport returned to circuit racing in 2005 with a Nissan 350Z. Leeroy Poulter won the championship in 2006, finished third in 2007 and was a close runner-up in 2008 in what was to be Nissan’s last year in circuit racing.

Giving birth to Tonii It is eight o’clock on a Friday morning and the Sparepro staff members are standing in a circle in the warehouse, holding hands, and praying. They’re praying for the ongoing health of the company, their families, their fellow workers, and also for mentally-handicapped children at Little Eden in Edenvale, to which they made a financial donation recently. This is not a one-off event, and every Friday morning is marked by prayer. The practise of assistance to the needy (handicapped children, underprivileged women and destitute elderly people) by staff members and the company; is ongoing, as is moral, emotional and financial support of employees who find themselves struggling to cope.

Management team (left to right): Price Govender, Ahmed Kolabhai, Vani Chetty and Patrick Latouche are the quartet which have steered Sparepro into a powerful position in the car parts market

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parepro is better known as Tonii, a broad range of aftermarket automotive parts which has carved for itself an impressive position in the marketplace thanks to a combination of price and quality which the end user is equating with solid value. Not only are they growing their market share but in February the company hit a record turnover and seems to be bucking the general economic downturn. Not only is turnover growing nicely, cash flow is positive (debtors and stock being well managed) while net profit is strong thanks to careful cost control. The end result is that the shareholders are getting an impressive return on their investment.

The man behind Sparepro (and behind the Tonii name, but more of that later) is Price Govender, who in the mid-1990s spotted an opportunity to import car parts from the Far East. He travelled widely and found that the doors were starting to open: there were many manufacturers willing and able to work with foreigners. A number of relationships were formed – often with tiny entities – but since then these associations have flourished and the businesses in question have grown together. Price’s understanding of the needs of local spares retailers and the ability for his suppliers to react quickly gave him an edge in the marketplace and soon Sparepro was distributing parts nationwide.

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While his wife Vani handled the marketing aspects and a third partner Ahmed managed the financial/general management side of the business, Price handled all interaction with suppliers and also vetted the quality and suitability of a growing list of components. As the business grew, the management team realised the need for a more professional footing to secure its position in a highly-competitive market by adding solid backend functionality to the ability to continue to put sound products into the marketplace at highly-competitive prices.

did not have motoring or spares industry experience, but he knew how to extract value from a company, and how to finetune systems (human and otherwise) for high efficiency.

Part of that process was the introduction of the Tonii brand name. The brand name comes from the name “Tony” which was given to Price Govender by his suppliers in order to avoid

Doing this rapidly helped to improve internal efficiency and reduce shrinkage – almost inevitable with this kind of operation. Relationships with the customers have been improved and the sales team has been revitalised, each salesperson being given a clearer idea of who he or she is looking after. Low overheads and careful control of stock levels has contributed to Sparepro’s strong profitability recently. 40 percent of the products account for 80% of sales

Warehouse managers: Dean Gounden (left) and Charles Simmadari keep things running smoothly in the warehouse, which after all, is the heart of the operation

the element of confusion between his first name and the word ‘price’ which is invariably an important part of any pricing negotiation anyway! The name “Tony” evolved to “Tonii”, a new brand name was born... and the rest is history! Today, virtually everything in the Sparepro arsenal is branded Tonii, and the company sells about 6 000 fast moving different products in nine broad categories. The name Tonii first appeared on parts boxes in 2005, following a spectacular launch of the brand and since then it has become a household name. That looks set to continue but by the end of 2009 the plan is for the branding to evolve somewhat to reflect different coloured packaging dependent on what sort of product is actually in the box. The other significant development was the appointment of Patrick Latouche as CEO in March 2008. This livewire Mauritian with a project management/processes background

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“When I joined the company there were over 100 employees but they needed direction and a clearer sense of purpose,” says Latouche. “I set about creating mechanisms to measure and assess performance so that targets could be set and incentives put in place for achieving those targets.”

Latouche is a great believer in employees being part of the organisation and he believes in a simple principal: people must do the work, not the hours. “People are a major part of the puzzle and about 70% of the workforce is in the warehouse and they move thousands of individual items each day,” he says. “We conducted time and motion studies when I started and the result is a more efficient way of doing things.” One of the other issues surrounding aftermarket parts remains the Q-word: Quality. “I think it is fair to say that quality is no longer an issue with imported parts,” says Latouche. Ten years ago it probably was but much has changed in the last decade and especially in the last five years. We warranty most of our parts for between one month and 3 years from the time of sale to the end user. Through our returns policy we can see very quickly whether there is a real issue.

“Our total claims ratio is less than 0,1% of parts sold – and only a portion of those can be traced to genuine product failure anyway,” says Latouche. “It has become a key part of the operation to control the warranty and return policy efficiently and it isn’t unheard of to get parts ‘returned’ which aren’t even ours. So we need to be very alert but when there is a valid claim we investigate thoroughly to ensure that it is sorted out promptly.” This is backed up by a technical department which is constantly analysing what is going on in the marketplace. Feedback from a sales department of 14 individuals who regularly interact with their clients, helps to provide market intelligence – both in terms of products which are popular/unpopular and also in terms of any reliability problems – and keeps a finger firmly on the pulse. It’s all about popular cars and popular parts, and Tonii is in the agreeable position where approximately 40% of products represent 80% of sales. But the plan is to improve on those ratios still further, so fewer rather than more product lines will pave the road ahead. Sparepro is very clearly in the volume market and dead wood is ruthlessly trimmed out of the inventory. Currently, the only area where the company is not represented is in body parts. Market analysis and the age and type of the vehicle population is also clearly critical: for example, as soon as a vehicle nameplate reaches the end of its normal warranty period, Sparepro will be ready to offer the aftermarket alternatives. And today it can take as little as six months from Sparepro identifying a need to a supplier meeting it: that includes

sourcing a product, to actually getting it into a Tonii box and onto the shelf of the customers. Latouche believes they have reached an ideal quality/value ratio but concedes that the exchange rate has been kind to them in recent months. Nevertheless, he is fanatical about containing costs. Sparepro distributes to the whole of South Africa as well as to Botswana, Swaziland, Namibia and Lesotho, and to a smaller extent, to Zambia, Malawi, Mozambique and Zimbabwe where the mix of price and performance is raising eyebrows. An alliance with a dynamic, up-andcoming logistics service provider (Brago Logistics) is saving the best part of R200 000 per month. Brago deliver both in Gauteng and the Greater Durban area and, for example, if a retailer places an order by 3.30 in the afternoon, they’ll have the parts some time the following day in normal business conditions. All in all, the future looks pretty bright for Sparepro, driven in part by the current economic climate where there’s a growing need to keep cars alive for longer, though, as Latouche is quick to point out, they didn’t wait for a recession to hand them a business opportunity. And he adds that there is no reason why they should not look at introducing new products in the near future, which are unrelated to the automotive industry. Through the network of contacts which has been established, they could source virtually anything provided it makes business sense. At the end of the day, as Latouche concludes, “It is a combination of focused energy, serving the customer as a business philosophy and making the Sparepro culture become more than just business. Success has to be measured through results and so far, we are on the right track.”

Sparepro sells about 6 000 different parts, most of which are sourced from China. “Quality is no longer an issue,” says CEO Patrick Latouche

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Creating Synergy AutoZone is a well known market leader in the automotive aftermarket parts industry which grew from the synergy of many. When Super Group purchased the Elpar, Femo, Spares Link and AutoZone brands, they decided that one united brand would work better than many smaller brands. Thus, in 1996, AutoZone was born.

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oday, AutoZone is the automotive parts business that distributes a wide range of automotive parts throughout South Africa and even across our borders into Namibia, Botswana and Swaziland. AutoZone has grown over the years, and now consists of over 160 stores, of which over 70 are member (voluntary trading) stores, and AutoZone is still growing. In 2005, a new and improved store concept was introduced in order to make the customer’s shopping experience more personal. The new shopping environment included a Front of Store section which allows customers better access to the merchandise. Customers can now see, touch and feel the products they are buying. Products stocked by AutoZone are broken into two sections. These are the "Front of Store" section and the "Back of Store" section. The "Front of Store" section where customers can select the items themselves includes many ranges such as additives, adhesives, batteries, car care accessories, custom items, garage equipment, oils and chemicals, wiper blades and much more. Product categories that fall into the "Back of Store" section are usually products that require more technical knowledge and advice, and include brake pads, engine parts, spark plugs, filters and hard parts. The AutoZone experience is continuously improving in order to further enhance our world-class shopping environment. Customers are always guaranteed great service and the best value. AutoZone has also continued to expand its footprint across southern Africa with the introduction of the AutoZone Hyper formats. These stores are designed to offer the best wholesale and retail experience available, while still catering to your every need. AutoZone as a brand offers so much more than just the run-of-the-mill automotive parts. We also feature a 24 hour call centre, a Technical Team, specialist categories, a VIP Cash Card, fantastic house brands and much more. The newly launched 24 hour call centre ensures that your queries are answered at any time of day or night by a team of trained professionals. Closely linked to this is our Technical

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Team, also known as the Pit Crew. This team of dedicated experts are available to you to answer any technical questions relating to your vehicle. The best part is that they are available 7 days a week, from 7am to 7pm on 0800 200 993. The Pit Crew even have their own series of DIY leaflets giving you Hints and Tips for almost any routine vehicle work. This range of 22 leaflets will give you guidelines on how to do various auto-related tasks, ranging from changing a fan belt to replacing gaskets. Our specialist categories include the new Turbocharger range. AutoZone is proud to announce that we now stock a comprehensive range of Turbochargers. We are the preferred stockist and distributor for the Garrett® and Holset brands. AutoZone also offers you amazing after-sales support and thus the AutoZone Advantage means that you get: • • • • • •

World Class Technical Expertise Pre- and Post Sales Support Failure Prevention Solutions Failure Analysis and Reporting Personalised Consulting A 12 Month Hassle Free Warranty

AutoZone believes in looking after all of their customers, not only the trade or account customers. To cater to the cash customers in the market, AutoZone offers even more value for money! If you are a cash customer at any AutoZone store, then you are eligible for the AutoZone VIP Card. This card gives cash customers the ability to earn points and redeem them for exciting products. The best part is that this card is absolutely free of charge! Despite the fact that AutoZone has over 100 000 product lines available, we still strive to ensure that you get the part you are looking for. To guarantee this, we have carefully developed a range of house brands. These brands enhance the AutoZone offering by giving you access to a wide range of top-quality products, at an affordable price. These brands are constantly being widened, and are fully supported by the AutoZone Technical Team. The five AutoZone Exclusive Brands are:

AmPro tools are a comprehensive range of top quality tools, designed to last a lifetime. In fact, we have so much faith in AmPro Tools, that we back them with a Lifetime Warranty! This incredible range of tools is individually selected to ensure that AutoZone has every tool required for both the professional and the D.I.Y handyman. The core categories for this range of tools includes socket sets and accessories, wrenches, screwdrivers, electric screwdrivers, pliers, specialty tools, and tool chests. Why don’t you visit your AutoZone store today and stock up on this top class range of tools? The Ecotech range from AutoZone covers all automotive electrical products, and caters for all types of vehicles from passenger vehicles to light and heavy duty commercial vehicles. This range of exclusive products is the largest and fastest growing range of top quality electrical products available. The Ecotech range includes products such as starters, alternators with their respective components, trailer plugs and sockets, electrical terminals, and on/off road lighting. AutoZone ensures that all Ecotech products are quality tested and vetted, ensuring that you get the most up to date technology, without paying inflated prices. AutoZone backs this up with their 12 month “hassle-free” warranty, offering you peace of mind. AutoZone has developed an exclusive range of accessories, all under the AutoKraft range. These range from core categories such as camping and outdoor equipment, to workshop equipment. This world-class range even includes custom car accessories such as car seat covers and wheel covers, all backed by our Hassle-Free returns policy. Femo is a top quality range of internal and external engine components, designed for a wide range of vehicle makes and models. This broad range includes piston rings, valves, bearings, sleeves, water pumps, fuel pumps and much more. The entire Femo range is also covered by AutoZone’s 12 month No-Hassle Returns Policy.

Looking towards the future, AutoZone is committed to growing our footprint across Southern Africa. This will be done through a dedicated strategy of opening stores in every urban centre in South Africa, as well as through a forward-thinking buying strategy aimed at expanding our product range to ensure that when you visit an AutoZone store, you are guaranteed to find the part you are looking for. AutoZone is also focusing on improving its offering to their customers, both trade and cash customers. The first step in achieving this goal was to implement the 24 Hour Call Centre, which is now up and running. We will also be focussing on improving general customer service to ensure that you feel like part of the AutoZone Family each time you shop at an AutoZone Store. We will continue to strive to deliver “The Right Part, at the Right Price, Everytime!”

For queries or comments, please feel welcome to contact us on 0860 11 22 111, or go to www.autozone.co.za.

Spirex is AutoZone’s range of top quality automotive hard parts and chemicals. This range of reliable, top quality products is affordable, and includes a wide range of products from brake pads, brake drums, pistons, batteries, C.V. Joints, to oils and other chemical additives.

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BARLOWORLD AUTOMOTIVE

50 Years of change Within a company that has been a Caterpillar dealer for 80 years and gone on to become a leader in the field of earthmoving equipment, is a leading automotive company that has a 50 year association with the South African motor industry.

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ounded in 1902, and with operations in 42 countries around the world, Barloworld is a distributor of leading international brands providing rental, fleet management, product support and logistics solutions. The core divisions of the group comprise Equipment (earthmoving and power systems), Automotive (car rental, fleet services and motor retailing), Handling (materials handling and agriculture), and Logistics (logistics management and supply chain optimisation). The history of Barloworld’s association with motor vehicles starts with a Natal agency for Cleveland and Chandler in 1907 and the establishment of the Barlow Motor Company in 1919 with agencies for Thornycroft trucks, Humber cars, TJ tractors and Pratt & Whitney engines. In 1936 these were sold off so that the company could concentrate on the Caterpillar franchise.

Motor Retail In 1959 Barlows acquired Nagington Motors, Ford dealers on the East Rand. These were the company’s first motor vehicle dealerships. Thus began an acquisition trail over several decades that included well known businesses such as Armstrong Motors, Auto Atlantic, Barons, Club Motors, Currie Motors, Eriksen Ford Group, Garden City Motors, John Williams Motors, Natal Motor Industries (NMI), Roderick Nissan, Stuart Bromfield

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BMW, Supra Toyota and several others. In addition to the above retail investments Barloworld invested in the Subaru distributorship and still holds a 50% interest, after selling shares to Toyota Tsusho Corporation in 2008. A significant and ground breaking transaction took place in 2003 with the Akoob family and their Durban South Motors Mercedes-Benz dealership. Following the decision by DaimlerBenz to change their dealer distribution model, Barloworld merged their Daimler businesses in KwaZulu-Natal with the Akoob family business. Today, the business encompasses a network of dealerships in Durban, Pinetown and Pietermaritzburg, with a flagship dealership at the Gateway development in Umhlanga Rocks.

International Growth In 1997 Barloworld acquired an Australian paint company with Mercedes-Benz and Mitsubishi dealerships. It was decided to expand the automotive business. Two Holden dealerships were added, followed by two Volkswagen dealerships in Sydney and another in Melbourne. The Australian business has grown into a successful operation, with eight dealerships in Sydney and Melbourne representing Mercedes-Benz, Holden, Volkswagen and Suzuki.

Avis joins the group Avis in South Africa started out as Zeda Car Rental and Tours, founded in 1967 by Noel de Villiers and Glen van Heerden of Lambons Ford in Bloemfontein. Starting with two Anglias and a Prefect, the company soon expanded to Johannesburg. “We were just two young guys at Lambons Ford,” recalls Glen van Heerden. “We were always lending cars to Ford customers from around the country when they visited Bloemfontein. We realised there was a market for car rental and so Zeda was born. Soon we expanded to Johannesburg and then, in 1969, Avis Inc of America approached us and, together with our shareholders at the time, Federale Volksbeleggings, we entered into a 50/50 joint venture and changed the name of the company to Avis. At the time we had about 50 cars in Bloemfontein and Johannesburg.” The company, with a strong focus on customers, quickly grew operations to cover Cape Town and Durban to meet the growing demand for rental vehicles. This strong customer focus required innovation. In the interest of safety, Avis was the first car rental company to have wing mirrors fitted to all its cars, introduce radial ply tyres and seatbelts as standard on the fleet, and offer customers automatic transmission and air conditioning. All of this was done in the interests of the customers who included both domestic and international inbound travellers. Later on, locations at airports were added to meet travellers’ on-airport needs;

this too represented a first for the company. The success of shortterm rentals led to the establishment of the first full maintenance leasing business in the country. Avis Fleet Services, established in the late seventies met the growing demand for longer term rentals. A focus on the quality and training of its people has been integral to the success of Avis in southern Africa, and today it is the leader in its field. Avis has won the Sunday Times Top Brands Survey in the business to business car rental category for the past six years. The business continues to live by its famous brand promise, “We try harder”.

Barloworld Automotive Recognising that the future of traditional motor retailing would change, Barloworld took an initial stake in Avis Southern Africa in 2000, and acquired the remaining shares in March 2004. In addition to this, a conscious decision was taken to realign the dealership network focusing on “Fewer, Bigger, Better” dealerships, representing the top automotive brands in major metropolitan areas. The group’s focus changed to providing customers with a range of integrated motor vehicle usage solutions to fulfil their specific requirements. This has been achieved through a well balanced portfolio of complementary businesses that cater for customers’ varying needs. These solutions include the products and services of the individual business units, namely car rental, fleet services and motor retail as well as the unique combination of these products and services for customers for who require aspects from the various business units, in a seamless combination, effectively and efficiently provided by a single supplier.

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BRIDGESTONE SOUTH AFRICA

Nearly 75 years of service in the tyre industry On September 14, 1936 the first Firestone tyre to be built in South Africa rolled off the assembly line in the company’s new factory in Port Elizabeth in the Eastern Cape. Today, 73 years after Harvey Firestone Jnr, together with first managing director John Cohill, officially opened the PE factory, the company has grown into a major supplier of passenger and commercial vehicle tyres to the South African motor, mining and agricultural industries with factories in PE in the Eastern Cape and Brits in North West Province.

Lifelong friends Henry Ford, Thomas Edison and Harvey S Firestone.

Harvey S Firestone Jr – chairman of the Firestone Tire and Rubber Company.

“When we began making tyres in Port Elizabeth during September 1936, the country was in the throes of a major depression, the economy was in a poor condition and future prospects looked very bleak,” wrote then executive vice-chairman and managing director of Firestone SA (Pty) Limited, Peter Morum, in a 50th anniversary commemorative booklet entitled “The Firestone Story 1936-1986”. “In retrospect, the courage of the management of the Firestone Tire and Rubber Company in America and their confidence in the future has been more than justified,” he continued. “Today, Firestone in South Africa is synonymous with quality, the product has excellent acceptance and the company has become a household name.” Twenty three years on, Firestone South Africa has become Bridgestone South Africa and the company’s growth has reflected the growth of the country. “Our continued success has been made possible by the wholehearted support of dedicated employees and a countrywide dealer network committed to total customer service and satisfaction,” said Chairman and CEO, Yujiro Kanahara.

“It is our aim to continue to grow and improve the quality of our products and our service to our customers.” page 43

John W Thomas joined Firestone in 1908 as the company’s first research chemist. Here he watches a synthetic rubber experiment.

Bridgestone South Africa is a subsidiary of Bridgestone Corporation, headquartered in Tokyo and the world’s largest manufacturer of tyres and other rubber products. Tyres account for 80% of Bridgestone Group sales worldwide. The company also manufactures industrial rubber and chemical products, sporting goods and other diversified products. It sells its tyres in more than 150 nations. The history of Firestone and Bridgestone in South Africa is marked with many notable milestones, from the day in 1935 when Harvey Firestone Jnr purchased the first 7,06 morgen site on the corner of Kempston and Harrower Roads on the outskirts of Port Elizabeth in 1935 (for £750!). The original production capacity in 1936 was 350 tyres a day with 150 people involved in production. Today, Bridgestone South Africa’s PE plant has a total of 43 000 square metres of factory space and a capacity of more than 5 500 tyres per day. The company employs over 800 people and produces tyres from the small steel belted passenger vehicle range, weighing 6.8 kg, up to the small earthmover range weighing over 490 kg. To date the PE plant has produced over 42 million tyres for the domestic and international markets. In 1971 the first tyre was produced at the Firestone Brits plant. It was a tyre made by South Africans, using local materials and the most modern equipment available at the time. Thirteen years later, in 1984, with Firestone’s total commitment to South Africa, vast extensions were completed at a cost of R37,5 million, making it the most modern tyre manufacturing plant in the southern hemisphere.

The Japanese traditional Kagami Wari ceremony, performed as a celebration – this time on the occasion of the launch of Bridgestone’s Run Flat Tyre in 2008. On the extreme right is Bridgestone South Africa’s current chairman and CEO, Yujiro Kanahara.

This was a massive investment in the future of Ruben’s Barrichello won the European Grand steel passenger and truck tyres in this country. Prix in Valencia, Spain, the venue last year of Today, the Brits plant is producing steel belt raBridgestone’s 200th Formula One Grand Prix. dials that meet the quality, design and performIn South Africa, Firestone and Bridgestone’s inance standards equal to those achieved anywhere volvement and support dates back many years else in the world. It is one of only a few Bridgeand has contributed significantly to the growth stone plants outside of Japan with the state of the of the sport. Bridgestone supports karting, the art technology gearing to manufacture Bridgenursery of motor sport, and the development of stone RFT (Run Flat Tyre), a technology that young drivers and is also the sponsor of the Bridgestone Corporation pioneered. Since the Bridgestone Production Car Championship. first tyre left its mould, the Brits plant has proBridgestone South Africa is a company with a duced some 29 million tyres. In today’s highly strong sense of corporate social responsibility Early Firestone advertisecompetitive market, Firestone and Bridgestone ment – dating back to 1919 and subscribes to best employment practice. steel belt passenger and steel cord truck tyres have – realised the vast possibili- “Through the involvement and generosity of proved their efficiency and productivity over and our employees, we are engaged in a wide variety ties of truck transport imover again with their outstanding performance, of community initiatives designed to raise living mediately post WWI fuel economy, durability and reliability. At both and health standards in our communities,” says the PE and Brits plants constant testing and research is conRomano Daniels, general manager of Group Marketing and ducted to ensure the quality of the tyres produced. Each plant Communications. “An example is the vegetable-growing hyhas its own fleet of test vehicles to evaluate the tyres produced, droponics project in the disadvantaged PE community of Bloeas well as tyre uniformity grading machines (TUG) and tyre mendal, which falls under the banner of the global One Team, test rooms with machines capable of testing tyres in excess of One Plant programme.” The company is fully committed to 280 km/h under controlled conditions. Bridgestone Corporaother global Bridgestone Corporation initiatives like the road tion of Japan took over control of Firestone South Africa in safety-based Think Before You Drive and the Make Cars Green 1997 in the biggest investment by a Japanese company in programmes. South Africa and the company’s name changed to Bridgestone “We pride ourselves in our commitment to raising safety stanFirestone South Africa. In August 2004 a R700 million investdards in both the production of tyres and on South Africa’s ment was announced in the upgrading and expanding of the roads, with such campaigns as our national initiative to encourBrits plant and building the state of the art RFT production age motorists to regularly check the condition and pressure of line, bringing the total investment by Bridgestone Japan in their tyres. We are also the sponsors of the Guild of Motoring South Africa to R1.5 billion. The name of the company beJournalists’ road safety initiative, the Committee for Active came Bridgestone South Africa. Bridgestone and Firestone are Road Safety (CARS).” names indelibly etched in the history of motor sport around the world. In August 2009 Bridgestone, the sole tyre supplier Bridgestone South Africa is a member of the South African to the Formula One World Drivers Championship, celebrated Tyre Manufacturers Conference and the South African Tyre 150 grand prix wins on Bridgestone tyres when Brazilian Recycling Process Company.

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Supplying and Nurturing the South African Automotive Aftermarket A supplier to the South African automotive aftermarket, Control Instruments Automotive (CI Auto) is buoyant about the market’s potential, and is looking forward to playing an increasingly important role in keeping the South African motorist in control and on the road. After a period of intense and frenetic acquisition, followed by a well considered and controlled restructuring and consolidation, CI Auto is on a mission, both simple and complex. The simplicity is in the goals, the complexity in the execution. The fulcrum for all these activities resides at the marketing and sales levels.

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ounded in 1948, Control Instruments Automotive, a subsidiary of Control Instruments Group Limited, manufactures and distributes an extensive range of quality, branded automotive components, including instrumentation and off-road products to OEMs and the automotive aftermarket throughout sub-Saharan Africa. The company owns a number of brands, each of which holds a unique position in the aftermarket. Well-known manufactured brands include Gabriel, Echlin, AutoExcel, MAG-Brakes, Autosave and Autocom. The company is also the exclusive African distributor of a number of internationally distinguished brands, including Warn, VDO, Britax, GE, Shurlock, Ring, Eurocable and Unipoint. Based in City Deep in Johannesburg, the company employs over 200 people who are dedicated to its marketing, warehousing and distribution operations, as well as a further 250 people at the company’s manufacturing facilities in Johannesburg and Cape Town. CI Auto constantly invests in its employees. According to Grant Fraser, Director Market & Product Development, “Training is certainly a priority in our business. The company runs a number of internal training programmes to benefit its employees”. To meet the demands of the growing export market serviced from South Africa, CI Auto recently set up an export division for the African market. “In the last decade or so, exports and automotive products

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Grant Fraser, Director Market & Product Development.

in South Africa showed strong growth, so it is important that we provide the right portfolio of products,” says Fraser. The company also has a team of product managers based in Johannesburg who work directly under the marketing team, whose responsibility it is to source new products for the emerging markets and to release these products into the new channel. “With changing demands in the market, it is imperative that we are able to meet the demands of our customers. We have to be able to deliver a quality product, particularly in the aftermarket, which also meets global emission standards,” says Fraser. Customer relationships are one of the keys to CI Auto’s success. “The relationships we have with our customers are vital,” explains Fraser. “Wherever possible, we pass on any benefits from our manufacturing processes to our major distributors, and we are working hard to supply the network.” Adaptability is not the only thing that has made CI Auto a leading player in the sub-Saharan automotive aftermarket. Fraser elucidates, “There are a number of things that create

success. First of all, our people; we have our own IP (Intellectual Property) and a lot of the technology that we have is continually being developed by our own team. Secondly, from a distribution point of view, we carry premium brands which ensure quality and availability of product. Most importantly, we offer customer-focused service. We work closely with our clients to make sure we know what their goals are, where they are financially and where they want to be in the future. The service we provide is personal, tailored to fit each customer. Our marketing initiatives are based on the requirements of our customers, and we drive various national campaigns to support the growth in sales.” Despite the recent economic downturn, Fraser is positive for the years ahead, “The local market shall continue to be buoyant, due to a combination of larger and younger vehicle populations. The aftermarket is worth about R3,6 billion annually, based on the products that we supply. The primary consideration is to access the impending market growth, ensuring that the operation and brands are positioned to capitalise on this. There is a lot of potential in this market.”

Photo on previous page: Three Pitts Specials, representing the Gabriel Wings Aerobatic Team, provide a great metaphor for what CI Auto stands for. To attain the perfection of synchronised flight, and to perform daring aerobatic feats, requires the right mix. Firstly, tried and tested aeroplanes; secondly, meticulous planning and preparation; thirdly a talented team totally in sync with each other; and finally a support structure that inspires total confidence. It is a marriage of skill, science and art, which is an alchemic blend of knowing what needs to be done, with a dash of gut feel and flair, making it all very exciting. The end result is a choreographed masterpiece. Mimicking this set-up is CI Auto, emulating the Gabriel Wings Aerobatic Team in a real life scenario which is firmly rooted to the ground in reality. The consolidation of various manufacturing units, distribution hubs, administrative and technical offices, and various other bits and pieces into one centralised location and one cohesive whole in City Deep, Johannesburg, has similarly required meticulous planning and preparation, to establish a support structure that inspires confidence, and to allow a talented team to feed off each other as they begin to push the limits.

A stunning addition to the Gabriel Wings team

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Federal-Mogul Aftermarket Champions of the Industry Federal-Mogul is an innovative and diversified $7 billion global supplier of quality products, trusted premium brands and creative solutions to the world’s automotive industry. It employs some 40 000 people in 36 countries and regions including southern Africa.

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rom a modest beginning in rural Michigan as a mill and engineers’ supply business (originally called the Muzzy-Lyon Company after founders J Howard Muzzy and Edward F Lyon) to the emerging North American automotive industry in Detroit in 1899, FederalMogul’s growth into a market leading supplier of quality products, trusted brands and creative solutions to the global automotive industry has paralleled the rise of the importance of the automobile in our society and has made, and continues to make its own important contribution. The company’s leading technologies have helped to drive the development and growth of the global automotive industry and it has diversified and adapted to meet the challenges the industry has faced over the last century and more.

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of T & N and Ferodo in the early 1960s, of T & N and Asseng in 1988 and of Trichamp (Trico and Champion) with Cooper Industries to form Cooper Automotive. As John Koen, the retired logistics director of Federal-Mogul Aftermarket Southern Africa recalls, “The big challenge was to harness the technologies and systems of leading brands AE (engine parts), Champion (spark plugs and windscreen wipers) Ferodo (brake pads) and Payen (gaskets) and meld them into one effective aftermarket company. Frik Nel, managing director of Cooper Automotive, was the first chief executive of the new company and it is great credit to him that he and the team he put together did such an effective job of utilising the best of the four companies and creating a single cohesive business.”

The acquisition in recent years of the British T & N (Turner & Newall) and American Cooper Industries companies consolidated a unique basket of premium branded products and market-leading technologies and resulted in the creation of Federal-Mogul Aftermarket Southern Africa in 1998.

Nel moved to the United States in 2004, handing over to market research expert Malcolm Perrie who had worked with AE for many years as a marketing consultant though his company The Marketing Shop.

The history of the Southern African company, headquartered in Johannesburg, is interesting. It can trace its roots back to the early 1950s and the founding of the Associated Engineering Company (Asseng), later to become AE, the amalgamation

Koen played no small part himself in the company’s success, having started with Associated Engineering as an 18-year-old in the 1960s and rising to CEO of AE engine parts at the time of the Federal-Mogul takeover in 1998.

Federal-Mogul are manufacturers of AE, Nural, Glyco and Goetze engine products (including pistons, liners, bearings, valves, valve guides, valve inserts and ring sets), Ferodo disc brake pads and linings, Champion spark plugs and ignition leads, wiper blades and assemblies, National automotive lamps and Wagner sealed beams, and Payen and Goetze automotive gaskets and oil seals. There are manufacturing plants in KwaZulu Natal (bearings and valves in Pinetown; brake pads in Durban), in Gauteng (spark plugs and windscreen wipers in Isando) and in the Eastern Cape (gaskets in Port Elizabeth). Today each brand has its own unique history and important place in the southern African market. Ferodo was founded in England in 1887 and led the development of friction materials in their modern form. Today, Ferodo products are designed to meet or exceed motor manufacturer original equipment specifications and provide creative automotive aftermarket solutions. Ferodo is also a leader in providing superior brake products to motor racing - in rallying, off-road racing and circuit racing. Ferodo has been in the forefront of motor sport for more than 80 years. In 1998, Federal-Mogul established a special team at the Federal-Mogul Friction facility in Mondovi, Italy, dedicated solely to the development, sales and marketing of new racing and other high-performance car, kart and motorcycle brake pads. Specialists in racing formulation, working in a prototype plant, they develop new materials. Production takes place within the plant in a specialised racing cell. All of this allows Ferodo to remain at the forefront of innovation and expertise in motor racing. Champion has been a world leader in the manufacture of spark plugs for every kind of combustion engine and has a motor racing heritage that spans most of its 100 years. It con-

tinues today with some of the most successful teams in North America’s NASCAR and NHRA and in the Formula One World Championship (an association that goes back to the very early years of the F1 world championship in the 1950s), as well as in national championships around the world. Champion spark plugs have been used by four of the last five NASCAR Cup champions, the last six NHRA Top Fuel champions and by cars that won nearly 400 F1 races – more than all other spark plug manufacturers combined. Champion, working with vehicle and system manufacturers, produced a revolutionary micro-sized spark plug that is now used by more than half of the F1 teams. Champion’s involvement in F1 has always been, and continues to be, about pullthrough from track to road. The technology learnt in F1 and other forms of racing finds its way into standard production Champion spark plugs. Champion and Ferodo involvement in South African motor sport goes back many years and current involvement includes sponsorship of the Champion Young Drivers programme, a global initiative that helps up-and-coming youngsters to develop in the sport. “This has been a very successful programme,” says Ronnie Erasmus, motor sport manager of Federal-Mogul Aftermarket Southern Africa. “Both our current young drivers, who are still in their teens, are past ‘rookie of the year’ winners in the one-make Volkswagen Cup national championship and are both race winners and contenders for this year’s title.” Devin Robertson (17) and Gennaro Bonafede (18) are jointsecond on the points log with two rounds of the championship remaining. They compete in identical Champion spark plugssponsored VW Polos. The series is restricted to drivers below the age of 28 and is an important stepping stone to the more senior circuit racing categories.

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GRANDMARK INTERNATIONAL

The Grandmasters in Quality Automotive Parts Supply In a marketplace of more and more part brands, one thing will always remain constant in the mind of the consumer - quality automotive parts at the best possible value. This customer need is exactly what Grandmark International focused on 15 years ago when they opened their doors. And because of that focus on value for customers, Grandmark International is now one of the leading distributors of replacement automotive parts and glass products in southern Africa.

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tarted in 1994 in Pretoria, Grandmark first began its path to success with the wholesaling of automotive body parts to the aftermarket industry. Since then, Grandmark has slowly expanded its product offering in order to meet the market needs for high quality/high value products. Grandmark now boasts an extensive parts range that covers six major automotive categories – automotive body, glass, cooling products, steering and suspension parts, engine and mechanical parts, and automotive lamps. Due to this success, they now stock over 20 000 different part items. While, in the beginning, Grand-

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mark’s primary import focus was in Asia, they realised the need to expand their geographic sourcing presence to ensure they were getting the best products globally. Consequently, Grandmark now sources from Asia, America, Europe and South America. Furthermore, the company opened up international purchasing offices to ensure close cooperation with these overseas manufacturers. From five continents and over a hundred suppliers, Grandmark International brings the best the world has to offer.

Body

Glass Suspension

Steering & & Mechanical

Engine

Lamps

Cooling

Bonnets Bumpers Cradles Grills Fenders Mirrors And more…

Windscreens Door Glass Vent Glass Rear Windscreens Quarter Glass And more…

Control Arms Ball Joints Tie Rod Ends Rack Ends And more…

Wheel Bearings Gaskets CV Joints Tensioners And more…

Head Lamps Corner Lamps Fog Lamps Tail Lamps And more…

Radiators Condensors-(Aircon) Radiator Fans Water Pumps And more…

Many of Grandmark’s products and manufacturers have the above certifications/qualifications.

Branch Network Growth With Grandmark’s early success, their branch network also expanded. Early on, to move closer to the majority of their customers, Grandmark moved its headquarters from Pretoria to Johannesburg. Then, to properly service those early Pretoria customers, Grandmark expanded the wholesaling operation back to Pretoria and then a few years later they expanded further to Cape Town. The reason? To provide customers with better service and closer personal contact.

The Quality Choice Early in its existence, Grandmark saw an opportunity in the marketplace - many importers focused on generic parts at the lowest cost possible. However, this often tainted the replacement parts industry as having low quality standards. Grandmark wanted to change this perception (hence the company name “Grand Mark”) by bringing in high quality products from the most advanced factories around the world – many of which supply original equipment manufacturers (OEMs) in their respective regions. To ensure customer satisfaction with all Grandmark products, all products come with a 12-month warranty against fault in workmanship or defect in material. Furthermore, all of Grandmark’s suppliers are not only visited by the Purchasing Department but, personally by the Directors as well. Last, Grandmark takes pride in offering products that have obtained globally recognised certifications and qualifications.

Culture is the foundation In a world where products, services and management techniques can easily be copied, Grandmark’s advantage rests in its unique company culture. It’s a culture that emphasises teamwork over the individual, fun in the workplace, respect, trustworthiness, motivation and innovation. The culture stems from its early entrepreneurial days where everyone pitched in, had fun and worked as a team – they had to in order to survive. Since then, however, Grandmark has not lost focus on the importance of that early culture but instead has worked to magnify it. In everything they do, they seek to always do more for its employees, its suppliers and its customers. It’s what they call the “Grandmark Spirit”.

Grandmark’s formula for success? Only and always quality. This ethic cements the Grandmark value system and applies to its products, services and company ethos.

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Launch Tech Co Ltd Shenzhen in Guangdong Province, China, is the fastest growing city in the world, and it was here in 1987 that a small company named Launch began manufacturing personal computers, developing both the hardware and software for these electronic devices, which in those days were still in its infancy, and thus Launch had to innovate and invent most of the applications. Five years later, in 1992, with the Chinese automotive industry starting to stir, Launch relied on their pioneering skills and electronic innovation to become the first Chinese company to get involved in electronic engine management engineering and automotive diagnostics.

Launch Tech Co Ltd employs over 300 qualified research and development engineers at its Headquarters in Shenzhen, in an industrial park consisting of seven identical nine floor buildings, with a total floor area of 189 000 m². Depicted here is one of these seven buildings.

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aunch Tech Co Ltd was founded in the same year and has since grown into the leading Chinese company in automotive diagnostics and a global supplier to the automotive aftermarket, represented by 15 companies supporting more than 400 distributors in 60 countries. Launch also looked to the future and foresaw the enormous potential of the Chinese automotive industry, and began its annual auto electronic and diagnostic colloquium in Shenzhen, inviting the Chinese OEM industry to discuss the future of engine management systems and diagnostic support, and to look at ways of combining talent and technology to develop improved systems. This vision has paid off, with Launch now being the specified diagnostic equipment for over 90% of Chinese OEMs. Launch also began to look outside China in 1997, as it realised that for it to be an international player it had to support all the OEM brands in both China and overseas. Thus the Carlink 5000 was introduced to the world in 1997, to be followed by the ADC 2000 in 1999, which was both a code reader and

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oscilloscope. With the strong international acceptance of both the Carlink 5000 and the ADC 2000, it was realised that for further growth the company would have to become a public company, and so in 2002 Launch Tech Co Ltd was listed on the Hong Kong Stock Exchange, and its future was secured, and further development was accelerated by the establishment of an industrial park in Shenzhen and an R&D facility in Beijing, to concentrate on vehicle management systems. Launch was also diversifying, and adding workshop equipment and tools to its product portfolio, as it strove to become a one stop shop for automotive workshops, offering a comprehensive range of quality aftermarket service equipment to the automotive and allied industries. These products include scan tools, Creaders, wheel balancers, lifts, engine analysers, wheel aligners, tyre changers, injection cleaners, a/c service stations, ATF chargers, test lines, inflators, sensor simulators/testers, paint dryers, spray booths, collision repair systems, hand tools, and more, the bulk of which are manufactured at a production facility in Shanghai.

Launch Technologies SA (Pty) Ltd Launch Technologies SA (Pty) Ltd. was registered in South Africa in 2000. Launch’s head office is in Jet Park, Johannesburg, Gauteng, and it has a branch in Durban, KwaZulu Natal, and distributors in Cape Town, Western Cape, and Port Elizabeth, Eastern Cape. These distributors, together with a network of sales agents throughout South Africa, has allowed Launch to become a major supplier of automotive aftermarket service equipment to the automotive and allied industries in southern Africa. The quality range of Launch equipment and products are fully backed-up and serviced by in-house after-sales service teams.

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aunch Technologies is committed to keeping its customers for life, and this philosophy extends to offering trade-ins and upgrades at very good discounts, software upgrades, and hands-on training that focuses on how to use the equipment. Launch also recognises the need to take this training one step further, and one of the many projects it has in the pipeline is the establishment of franchised quick repair shops, to facilitate further training on how to take diagnosis and trouble-shooting further, on actual repair techniques. Launch is acutely aware of the need for workshops to have access to finance and credit for both capital requirements and operational costs and working capital, so it is a preferred supplier to Capricorn Society Limited, a forward looking cooperative that offers a range of innovative business assistance packages. Launch Technologies SA is also in the relatively unique position from a global perspective in that Jackie Li, the CEO, has direct contact, and is in daily contact with Launch Tech Co Ltd’s head office in Shenzhen. Jackie Li spends a lot of time at Launch’s head office, and has his own office at headquarters, and his close relationship with the President allows him to stay abreast of all the latest developments and projects, and gives him favoured status as an international ambassador for Launch. In actual fact, he is merely a phone call away from the President, and this special relationship translates into extra special service for Launch’s South African customers. Therefore it is no wonder that of the workshops in South Africa using Launch equipment, that 70% of their requirements are met by Launch Technologies.

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LAZARUS MOTOR COMPANY

The humble acorn grows into a mighty oak “True success isn’t measured in currency, but in the trust of families and customers. It’s built on a solid foundation of ethical standards and an unwavering commitment to service. It’s being the best we can be. It’s keeping our word so that people can trust what we say and have confidence in our honesty and integrity. It’s serving our customers in the best way possible because we sincerely care about their safety and their complete satisfaction with their Lazarus experience.” - Colin Lazarus, managing director, Lazarus Motor Company.

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his philosophy has stood Colin Lazarus in good stead in the 29 years since he took over his father Gerry’s company, R Lazarus & Son in 1980. The principles on which he has built the business started by his grandfather in 1957 has seen the founder’s grandson emerge as one of South Africa’s top private motor vehicle retailers. The Lazarus Motor Company’s imposing modern headquarters overlooks the N1 in Centurion. It is a far cry from the original Lazarus dealership in Bronkhorstspruit, where Colin was born and raised and where you could buy a Mercedes-Benz or a DKW. Today’s operation is one of the biggest privately owned dealerships in the country and, at 30 000 sq m under a single roof, it is one of the biggest in the world. Country born and bred and educated at an Afrikaans school, Lazarus is a no-nonsense kind of guy and is direct and sometimes uncomfortably honest. But above all he is a good ‘people person’. “It’s not about me, though. Our success has been built with our most important asset, the right people. I am fortunate to have the ability to surround myself with good people. Most of my 255 staff have been hand-picked by me, right down to the drivers. They make me look good,” he asserts. Before officially joining the business after completing his education, his father sent him to work at Ford Motor Company in Port Elizabeth early in 1980, “to learn the business”. “This was part of a two and a half-year plan to prepare myself for joining the family business, but just as I was about to go to the United States to work within the Ford dealer network there, my father died suddenly and I had to return to Bronkhorstspruit and take over the company. I was 22 years old and found myself in the deep end. “I learnt a lot in those early days. Every Wednesday I would put on my overalls and spend a day in the workshop. We sold mostly tractors in those days and also cars.”

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Over the years Lazarus acquired a Ford dealership in Verwoerdburg (later to be renamed Centurion) in 1991 and then a year later the company was awarded the Mazda franchise in Centurion as a result of its good performance with Ford. By 1996 the company had built a fine reputation for customer service with its Ford and Mazda owners and was awarded the prestigious Jaguar franchise, opening in the Pretoria suburb of Hatfield. In 1999 Lazarus identified a piece of ground in Centurion next to the N1 and gathered the entire multi-franchise operation under one roof. At the same time, he was astute enough to realise that in order to succeed long term in the changing socio-economic and political environment he needed a black empowerment partner. He found just the man, successful businessman Peter Malungani, and they have been partners for the past 10 years. Malungani bought shares in the company, which was renamed Lazarus Motor Company. “We are a great fit and I have learnt so much having a black partner,” says Lazarus.

Today, Lazarus Motor Company represents six well-respected international brands: Ford, Mazda, Jaguar, Land Rover, Volvo and, the most recent, Kia. Success did not come overnight, but the continued achievements are built on the principles that have guided Lazarus throughout his career. These achievements include being honoured as Centurion Businessman of the Year in 2007, where he surprised the audience with an acceptance speech in Afrikaans. He is immensely proud of the fact that Lazarus Motor Company has won the Ford and Mazda dealership of the year accolade for the past five years (from 2004 to 2008). “We were the first big volume dealer to achieve this distinction, which is the result of the sustained excellent performances of all of my key people and the staff who work with them.” Lazarus is a great believer in well conceived marketing and advertising promotions and enters into these with enthusiastic involvement, from his office right through the organisation. He has a successful association with circuit motor racing and has been a long time supporter of the annual national Total Economy Run, where, invariably, his is the biggest entry. In 2009 he supplied almost half of the field of 28.

A long association and close friendship with multiple powerboating and motor racing champion Peter Lindenberg has led to a number of motor racing initiatives that have brought success and valuable exposure for Lazarus Motor Company. “We like to sponsor winners and Peter has won more than his fair share of championships, in water skiing as well as powerboating and motor racing. We also like to support the sporting teams in our province and have a great relationship with the Blue Bulls, the Titans and SuperSport United. All three are champions. Our involvement with rugby, cricket and soccer is also motivated by a desire to help with the development of these sports. We provide motor cars which are used by the teams’ talent scouts and trainers.” No visit to the imposing Centurion headquarters of Lazarus Motor Company is complete without seeing the company’s own motor museum. It currently boasts among its exhibits the only Ford GT in South Africa (one of only 2 000 built to mark the company’s centenary), a pristine 1969 Ford Mustang and the Formula Atlantic Chevron in which Ian Scheckter won one of his six SA drivers’ championships in the 1970s.

“It’s all about promoting the brand and also our dealership and we have had more than our share of success in this regard. We find that the fuel efficiency achievements of the cars we enter in the economy run are of interest to our customers and we advertise the results.”

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Taking Care of our own In the Goon Show, a radio comedy series aired in the United Kingdom in the 1950s and key to the later fame of Spike Milligan and Peter Sellers, a pair of villains convinces the ever-gullible Neddie Seagoon to insure the English Channel – against fire.

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hat might be taking things to an unlikely extreme but like it or not, most people protect themselves against the risk of the unknown...whether it be a fire, theft, a car accident or the vagaries of nature. We also insure our health: it’s called medical aid and who can afford to be without it? Healthcare in the automotive industry is important and – certainly in the blue-collar area – there’s a fair amount of danger present, so you don’t want to leave yourself exposed. One of the big names in medical cover is Moto Health Care, an organisation which runs closed schemes in the motor industry and currently has in excess of 43 000 principal members.

Restricted to the motor industry and born out of the convergence of the Automed and Mimed schemes at the very beginning of 2007, it can offer a compelling portfolio of healthcare products to those working in all strata of the industry – from manufacturing to retail. At the helm of Moto Health Care since its inception is Fund Manager Murida Khan, a savvy industry veteran who has spent pretty much her entire working life in medical aids, rising through the ranks after starting as a script assessor at Affiliated Medical Aid in the early 1980s. It would be easy to grow hardened to some of the pain and suffering that often goes with this business but Murida seems to have tremendous empathy for her members. “Fully half of our membership comes from low income groups – petrol pump attendants, cleaning staff at dealerships, apprentice mechanics – and they rely on us to provide them with healthcare which is both affordable and effective,” explains Khan from her modest Randburg office. “Just because they’re from the low income bracket doesn’t mean we should underestimate their wants and needs...their money is precious and they don’t want cheap!” About a quarter of Moto Health Care’s members are on the entry-level Essential package, with a total contribution of just R185 per month. It is structured so that even individuals with a low level of literacy are able to understand exactly what is and isn’t covered. Another 25% of members use the Custom scheme, which is a rung up the ladder. These packages are exempt from providing the Prescribed Minimum Benefits as laid out by the Medical Schemes Act. The company has been able to put together these and other high-value offering by using the membership’s collective bargaining power, dealing directly rather than using brokers, and also linking up with Carecross Health as a network provider: they negotiate directly with doctors and other service providers, thereby ensuring the best possible rates.

At the helm of Moto Health Care since its inception is Fund Manager Murida Khan

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This approach has also helped to reduce wastage and dishonest practices and because of the tight controls that are in place, there is nothing in the market which offers what Essential does for such a modest sum, says Khan. Members are guaranteed of continued healthcare cover unlike many members out there, who by the middle of the year are no longer able to access benefits. At the other end of the spectrum is a product called Optimum, which is able to offer real-world benefits that are comparable with some of the more glamorous brand-name medical aids. Because of its diverse packages Moto Health Care works well across all levels of an organisation, and dealerships within the big retail holdings such as McCarthy, Imperial and Barloworld are customers. In the past, Moto Health Care has steered clear of some of the popular “addedvalue” benefits which have become popular over the years (gym memberships, cinema discounts and the like) but from this year has implemented an optional Multiple Lifestyle Programme that offers a number of potential savings in these areas. But this is a traditional medical aid and remains focused on providing real value and packages that are easy to understand: there aren’t any thresholds or self-pay gaps – once the benefits are exhausted, that’s it, and the member will know when the funds are about to run out. While Moto Health Care has seen its membership base targeted by the large, unrestricted schemes (when the company rose from Automed and Mimed nearly three years ago it had 56 000 members – though that number has also been eroded somewhat by retrenchments) it believes it is able to offer the industry a better deal on all levels. It also has tremendous bargaining power and places those who work in the automotive field first: Moto Health Care’s board of trustees includes representatives from organisations such as the Retail Motor

Industry, Fuel Retailers Association and NUMSA – the National Union of Metalworkers of South Africa. The administrator of the medical aid is handled by Momentum Medical Scheme Administrators and there are eight walk-in centres around the country where members can seek assistance and advice. In addition, Moto Health Care has 20 service consultants out in the field on any given day, talking to people in their own language at their place of work. One of their prime objectives is to get young people to appreciate the communitybased aspect of healthcare and get them to understand that by contributing now – even when they seem to be in perfectly good health – their needs will be guaranteed later in life when they do get sick. “There is a great deal of empathy from the board and because they’re close to our members they know what people are going through in the current climate,” explains Khan. “The trustees include employers and we look at individual cases on a regular basis and in many instances provide care over and beyond what we are obliged to give. It is one of our objectives to be as humane as possible and dialogue with our members is an essential part of achieving that. “There is still scope within this industry for healthcare to be made more cost-effective and one way of achieving this is to maximise our collective strength. There are still many motoring entities operating in isolation with their own medical aids , but if we all operate under one umbrella it increases the bargaining power, and will benefit all in the motor industry,” says Khan.

The motto of Moto Health Care is ‘Taking Care of Our Own’ and they look well-placed to live up to that promise. page 56

REX DIFF AND GEARBOX

Striving for Excellence With a mission to set new standards for service and customer care, Rex Diff and Gearbox (RDG) was established in 1992. It was the brainchild of Gayle and Rick Rex who had decided to pool their technical and managerial skills and enter the unknown waters that represented the specialist gearbox and differential repair segment of the auto industry.

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oday, with Gayle at the helm in the role of managing director and Rick in charge of the day-to-day smooth running of the business, as operations director, this goal has been achieved by this hard-working, ambitious, husband-andwife team. From humble beginnings – working out of a small residential garage – the two-person business expanded to the point where, 17 years later, it employs more than 120 highly trained staff members. RDG’s linear growth is attributed to the high levels of service it regularly provides its customers, says Dennis McLachlan, responsible for ArvinMeritor and RDG’s Consumer affairs.

“RDG employs skilled technicians and staff who are knowledgeable and experienced, with in-depth expertise that adds value to the organisation,” he says. “We pride ourselves on offering services performed by seasoned professionals and highly trained technicians. “Customer care is of utmost importance and RDG is fully committed to the concept. It has been the platform from which our success has been orchestrated.” The emphasis on service is underlined by Gayle Rex. "We place our customers on pedestals and strive for excellence in whatever we do", she says.

Range of services RDG offers a towing, a 24/7 emergency breakdown and other services, as well as collections and deliveries anywhere in the country. The company also guarantees all parts and workmanship and offers 30-day account facilities. One of the secrets of the RDG service is a reduction in costs to customers by having the ability to replace individual parts instead of an entire gearbox or differential unit. If necessary, some parts are imported to ensure the highest quality standards are maintained. RDG's workshop is equipped with latest tools and machinery that boasts cutting-edge technology. RDG recently built a state-of-the-art, controlled environment,

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automatic transmission repair bay and purchased a new Sun diagnostic scanner which is compatible with all vehicles on the road – even those sourced from other countries. The company also sets the standard for a working environment that is beneficial to staff, customers, vehicles and equipment.

The emphasis is on cleanliness and order. RDG is an approved service provider for a number of leading motor vehicle manufacturers, including Isuzu, DAF, Hyundai and Iveco Trucks. The company is also a member of the Retail Motor Industry (RMI) Organisation and has been appointed as an Approved Specialist Repairer by the Automobile Association of South Africa. Being a member of the RMI ensures that any work performed in the RDG workshop adheres to the RMl's strict quality standards.

Quality not quantity McLachlan says RDG's philosophy is based upon quality, not quantity. “We strive to provide an excellent product, at the same time maintaining a high standard of service and customer care. We work together as a team of specialists and experts, taking pride in our workmanship and working within world class facilities.”RDG recently took occupation of a modern facility in Jet Park which houses its dedicated commercial vehicle operation. This complements the long-standing Boksburg facility which has been given over in its entirety to the passenger vehicle division. “We completely outgrew our Boksburg premises,” says McLachlan. “There simply wasn’t enough space to service both passenger and commercial vehicles, so we decided on the move which established yet another milestone in the history of RDG.” In 2007, RDG was appointed an authorised agent for ArvinMeritor Australia, one of the largest suppliers of automotive parts in the world with 150 facilities in 27 countries. The partnership has resulted in RDG being able to offer a broad range of integrated systems, modules and components for the light vehicle, commercial truck and trailer and speciality OEMs and related after markets. Other highlights in its history include the opening of operations in Port Elizabeth and Durban in 2007. Looking to the future, McLachlan sees training as one of the most important challenges facing the auto industry. With this in mind, RDG has opened the doors to its new training facility adjacent to its Jet Park Truck Division designed to broaden the scope of the training it offers. “While it is important to run an organised and well-equipped workshop, a high-tech facility such as ours is useless unless it is staffed with appropriately trained specialists.

Training is an important focus for RDG and as such we are continuously up-skilling our workers to meet the requirements of the new generation of vehicles on the roads,” he says. “Modern vehicles - including commercial vehicles – are more complex than their predecessors. The computer technology incorporated in today’s vehicles means they are very different from those that were in use 10 or 20 years ago. “Of course these improvements can be seen from two perspectives. Yes, they have resulted in more powerful and reliable vehicles than those of previous generations, but their complexity means they are significantly more difficult to repair should problems arise. “For example, it is no longer possible for a technician with basic skills to address most mechanical problems on a vehicle. The complexity of systems has forced them to specialise in specific aspects of a vehicle's operation and understand the role of diagnostic equipment,” adds McLachlan. “Gearboxes and differentials are no different to engines from this standpoint. Their systems have become increasingly intricate and can no longer be serviced or repaired with a few basic tools and a rudimentary knowledge of their operation.” Hand in hand with an increasing emphasis on modern technology, RDG has not forgotten what has brought it success in the first place. “Keeping customers satisfied remains the company's chief priority as we head towards our eighteenth anniversary,” stresses Gayle Rex. "We continue to take pride in what we do and will always go out of our way to satisfy our customers.”

Boksburg: 011 823 4393 • Durban: 031 569 6869 Port Elizabeth: 041 586 3613 • Jet Park: 011 826 2722 www.rdg.co.za

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‘We Do Things Differently’ SA Warranties are specialists in the development and administration of Mechanical Breakdown Insurance and Service and Maintenance products for the South African motor industry.

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s a financial services provider, SA Warranties conforms to the provisions of the Financial Advisory and Intermediary Services Act of 2002. All mechanical breakdown insurance warranties comply with all statutory requirements in terms of the appropriate legislation of the Republic of South Africa. Although SA Warranties was founded only 7 years ago, (in 2002) the roots of SA Warranties go back to 1978, when Mechanical Breakdown Insurance (MBI) was founded. MBI became the first South African company to offer an insurancebased warranty, underwritten by SA Eagle. Today SA Warranties is underwritten by Regent Insurance Company. Prior to this all mechanical breakdown warranties were based on STP, Molyslip and Wynn’s additives, which provided a measure of mechanical protection. After negotiations with the late Bill Lynch, past CEO of Imperial Holdings, SA Warranties commenced administration of the Imperial Group’s used car warranty programme, including various independent vehicle dealers across the country, many of whom moved from MBI to the new company. SA Warranties’ client base and product offering was aggressively expanded, and today has an impressive list of clients including leading financial institutions, motor dealer groups and vehicle manufacturers. Amongst SA Warranties client base are: Absa, MFC, WesBank, IEMAS, Combined Motor Holdings, Supergroup, Imperial Holdings, Associated Motor Holdings, Eastvaal Motors, Nissan SA, Volkswagen SA, Kawasaki SA. Whith demand for its services was increasing by leaps and bounds, additional space was needed. In October 2005 SA Warranties moved offices to its present location in Bruma,

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Johannesburg. A state of the art call centre was also established, with all calls handled by qualified technicians. Satellite branches were established in Cape Town, Port Elizabeth, Durban and Bloemfontein, thus ensuring national representation. The management team at SA Warranties realised at a very early stage that a key ingredient in today’s service industry is the ability to offer consistent and professional service to every caller, from individual policy holders through to motor repairing and selling dealers, as well as group enquiries. With a team of highly motivated, well qualified and trained agents, SA Warranties are able to offer world class service via its Call Centre (Call: 0860WARRANTY). Besides consistently achieving its objective in terms of service delivery, the company has an ongoing training and mentoring programme across all its divisions. Since entering the market with used vehicle warranty programmes, SA Warranties expanded its extensive product range to include “customised” New and Used vehicle Warranties, and Full Maintenance and Service plans (SA DrivePlan Maintenance Plan and SA DrivePlan Service Plan) for the industry and private clients. Warranty cover is also available for the leisure industry (quads, boats and caravans) and the commercial vehicle industry (trucks and yellow goods). Full maintenance and service plans are handled by SA Vehicle Maintenance, a subsidiary of SA Warranties, specialising in the development and administration of automotive service and maintenance plans for vehicle manufacturers, financial institutions, insurance brokers, independent dealerships and large

dealer groups. SA Vehicle Maintenance, covers a wide range of vehicles and offers customised products to suit the needs of the motorist. The company’s leading range of service and maintenance products are designed to give the customer complete peace of mind and the best protection available. Another popular product is the SA Warranties Drive Care Roadside Assistance membership plan, which ensures that motorists are not stranded in the event of a breakdown or accident. Members’ vehicles are towed to the closest repairing dealer should the vehicle break down or if they are involved in an accident. This programme offers many benefits including, the supply of fuel if a member is left stranded. The SA Warranties team has been responsible for an impressive list of “firsts” in the warranty industry. These include the first: •

Insurance-based warranty in the country

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Warranty with parts and labour cover from day one

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Warranty to cover parts not running in oil, e.g. brakes and electrical components

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Drive train warranty

SA Warranties also offer unlimited cover on new vehicles, an “upgrade” option on a warranty, day-one cover, and a threeyear/100 000km warranty on pre-owned vehicles. One of the most successful innovations was launched in September 2006 when SA Warranties’ announced its “Bumper to Bumper cover” warranty, which offers 100% cover on wear and tear items. This innovation not only changed the face of the warranty industry in South Africa, but has since become the most popular and sought-after warranty in the country. The founders of SA Warranties’ founders, Bender Davis and Miron Milner, grew the company from as small base in 2002 to one of the leading suppliers of warranties in South Africa today. John Tager, the new Managing Director took over this proud heritage from the founding members early in 2009. Andries Labuschagne, General Manager of Marketing and Product Development at SA Warranties, says, “Our products have been specially developed and offer our clients reliable support and peace of mind. Our industry-leading experience, solid track record, state-of-the-art systems and use of technology, has allowed us to offer our clients the very best Mechanical Breakdown Insurance, including Service and Maintenance plans for their assets.”

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Toyota continues to lead the way Toyota South Africa is as much about contributing to the world we live in as it is about making and selling cars.

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here are three words that underline Toyota’s success in South Africa for more than 40 years: quality, durability and reliability. Maintaining leadership in a market as volatile as that of selling motor vehicles is a major challenge for any company as sales success tends to be cyclical. It is therefore unusual for one company to maintain a leadership position for a period as long as 29 years, which Toyota South Africa has achieved to date. Japanese manufactured automotive products were not always perceived as vehicles of choice, but this gradually changed when the great post-war Japanese turnaround started. In the late 1950s, Toyota began adopting new sales methods. In the spirit of innovation, Japan's Toyota Motor Sales Company began to emphasise "scientific marketing" over older methods, and set up a research office in 1956, shifting focus to demand-forecasting techniques and preparing marketing plans accordingly. In South Africa, traditional lines of supply were restricted in the 1950s and early 1960s as Europe and the US recovered from the devastation of World War II. In 1960 Toyota Motor Corporation was still a modest undertaking with a total production of 200 000 vehicles; whilst General Motors was making 3.5-million units a year. It was at this point that Dr Albert Wessels looked towards the East as a possible source of more affordable vehicles for the local market.

The attributes of quality, reliability and durability (QDR) were mostly restricted to more luxurious and expensive cars and did not apply to affordable marques. The slogan, ‘Everything Keeps Going Right, Toyota’ which was introduced by Toyota South Africa in 1973, together with its distinctive jingle became an institution in South Africa. When people think of Toyota products, they usually think of a product that lasts forever. That is exactly what Toyota set out to do. Toyota’s reputation and quest for continuous improvement in everything they , so accurately encapsulated in ‘Everything Keeps Going Right’, changed all the perceptions and built customer trust and loyalty. It focused the company’s employees and dealers, it guided the company’s decisions and actions, and was an important ‘driver’ in taking Toyota South Africa to market leadership in 1980 – a position it continues to hold to this day. It was the perfect slogan for the company, and for the time. However, new innovation, added excitement, superior technological advancement and a reputation for good corporate citizenship called for change.

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With it’s bold attention grabbing presence at one of the Southern Hemisphere’s premier automotive shows, Auto Africa 2004, Toyota asserted its leadership position unequivocally – and drove the point home with the unveiling of the new slogan, ‘Lead the Way’. It also unveiled new hybrid technology with the Toyota Prius at the time of launching the new slogan.

Manufacturing Toyota manufacturing operations in South Africa date back to 1966 when the first Corona sedan rolled off the assembly line in a shared facility based in Natal. Manufacturing operations moved to the current location in Prospecton in 1972 with the establishment of the Motor Assemblies production facility. In 1979, Toyota SA became the sole owner of Motor Assemblies. Toyota SA has been the subject of a multi-billion rand investment programme over the past five years. The first phase of the investment programme was gearing up to produce the Hilux as the first true high volume export model for Toyota South Africa. This phase saw R2,4-billion invested in new facilities. The introduction of the new Corolla required that the Prospecton facility be expanded to enable a volume capacity of 220 000 units per annum working on a two shift basis.

Dr Johan van Zyl: CEO and President of Toyota South Africa

Toyota SA has been the subject of a multi-billion rand investment programme over the past five years

Looking ahead With 29 years of consecutive market leadership, Toyota SA’s future plans hold exciting developments and growth within the realms of vehicle production and sales on both the domestic and export markets. When Toyota Motor Corporation doubled ownership in Toyota SA in 2002, a multi-billion rand investment programme started. The motivation behind this large scale investment has been the transformation of Toyota SA into a fully fledged regional production base that is fully assimilated into the Toyota Motor Corporation global supply network and equipped to produce vehicles to the highest global quality standards. Toyota SA proudly ranks among the top ten international distributors.

Today Toyota SA’s focus is on developing a company that is globally competitive on all fronts, through a vision based on three pillars. These pillars include continued domestic market leadership; being a reliable supplier of quality products to the Toyota global supply network; and being a profitable operation that is able to fund future growth. Toyota continuously seeks out ways to improve systems and state-of-the-art technology to deliver the highest possible level of quality vehicles to their customers. But, perhaps even more importantly, vehicles that are built and designed to have an emotional connection and a long-term relationship with their customers, and vehicles that continue to deliver on the promise of quality.

Toyota’s Guiding Principles • Honour the language and spirit of the law of every nation and undertake open and fair corporate activities to be a good corporate citizen of the world. • Respect the culture and customs of every nation and contribute to economic and social development through corporate activities in the communities. • Dedicate ourselves to providing clean and safe products and to enhancing the quality of life everywhere through all our activities. • Create and develop advanced technologies and provide outstanding products and services that fulfil the needs of customers worldwide. • Foster a corporate culture that enhances individual creativity and teamwork value, while honouring mutual trust and respect between labour and management. • Pursue growth in harmony with the global community through innovative management.

Toyota’s new Hilux, the top selling vehicle in SA in 2008, was first introduced in October 1969, making it 40 years 'young' this year.

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Progress over half a century Volkswagen of South Africa has grown from strength to strength since establishing its roots in the industrial town of Uitenhage, just outside Port Elizabeth, in 1951. The Company remains a key player in the motor industry not only in the region, but the rest of South Africa and even worldwide. Since its inception, Volkswagen of South Africa has amassed several accolades locally and internationally, thus ensuring its business confidence in the town of Uitenhage and the Eastern Cape region. This commitment is exemplified by continued investment in its operations by the VW Group - to the benefit of communities living in Uitenhage and surrounding areas.

Then....

1958 – South African Motor Assemblers and Distributors Limited (Assemblers of Studebaker and Volkswagen)

Overview of Volkswagen of South Africa Production of Volkswagens in South Africa began in 1951 when the first Beetle rolled off the assembly line in Uitenhage. In 1956, the Volkswagen Group bought a controlling interest in the South African company, making it part of its global supply network. Volkswagen of South Africa has come a long way since that first Beetle saw the light of day on August 31, 1951. Flexing its not inconsiderable capacity and manufacturing skills, it is one of the biggest exporters of vehicles from the African continent. Allied to this is the fact that it was also the top selling car manufacturer in South Africa for much of the 1990s and into the new millennium – evidence that Volkswagen of South Africa has grasped the challenges of the global marketplace. This has been achieved through an aggressive and focused drive to ensure integration into the international Volkswagen Group supply network and an uncompromising approach to quality.

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The highly sophisticated vehicles assembled in Uitenhage contain components sourced from around the world, but increasingly, from local suppliers. Volkswagen of South Africa has a commitment to developing the South African component manufacturing industry and is actively helping local suppliers develop relationships with its German counterparts and others worldwide - thus ensuring necessary skills and technical transfers. Volkswagen of South Africa’s dealer network has put its weight behind the Company by continually investing millions of rands in upgrades to showrooms, service workshop technology and the development of people skills. In return, the Company continues to provide them with comprehensive passenger and commercial vehicle ranges to meet the mobility needs of South African consumers. The Company’s commitment to the self-development of its employees has also earned it several awards, among them the international standard, Investors in People.

Volkswagen of South Africa today Volkswagen of South Africa is investing over R3-billion in new plant, new technologies, new products, and the training and development of its people. The investment is expected to further increase Volkswagen of South Africa’s competitiveness in the domestic and global manufacturing arena, enabling the Company to capture more growth opportunities on both fronts. The most significant change which has taken place is the revamping of the Company’s Uitenhage based manufacturing

providing knowledge and skills to its employees across four key areas: theoretical classroom based training, standardised work/line simulation, e-learning modules and practical on the job training. Volkswagen of South Africa’s investment into new plant, new technology, new products and the training and development of its people is reaping rewards. It has ensured the Company’s competitiveness in both the domestic and global manufacturing fields, enabling it to capture more growth opportunities in both markets and thereby securing the future of Volkswagen of South

and Now

2008 – VWSA today. Who knows how this picture will have changed another 50 years down the line?

plant, in preparation for the introduction of future models. This revamp includes the introduction of new production technology in the body shop and vehicle assembly operations, as well as a new engine manufacturing line to supply both domestic and export markets.

Africa, its Dealer Network, Suppliers and all employees involved in this vast manufacturing and marketing chain.

New power and air supplies are other significant improvements, as is a new automated wheel assembly facility which allows for wheels to be fitted every 17 seconds. Volkswagen of South Africa is also in the process of refurbishing its engine plant to a worldclass standard. With an investment value of R500-million, the equipment is comparable to any installation of its kind in Europe and within the Volkswagen Group. The training and development of its people is also key to the Company. Three new Training Academies strategically located within or near production have dedicated training teams

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Automotive Aftermarket Manufacturers Association AAMA can be traced back to 1986, when the Partinform Component Manufacturers Association was conceived, and in the words of Paul Williams, who served as Chairman from 1994 to 1998, it “was a creation of good comradeship and the mutual sharing of costs for trade evenings”. Malcolm Perrie, the first Chairman of AAMA, was more forthright when he announced the formation of AAMA in November 2008, stating that they had “formalised the old boy’s tea club known as Partinform into a properly constituted and registered association.”

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AMA came about because the specific needs of the automotive aftermarket were not been met by bodies such as NAACAM and the RMI, and the Partinform platform was there to be built upon, and AAMA brought South Africa more into line with international trends and practices. Malcolm Perrie, Managing Director of Federal-Mogul Aftermarket, the first Chairman of AAMA, said after the formation of AAMA in November 2008 that the formalisation of Partinform into a far more powerful institution was a necessity, “NAACAM is primarily an OEM focused body, whereas the RMI is a retailed focused organisation. Both do a good job in their respective areas of expertise and focus, and the AAMA members intend to continue to leverage off the strengths of these important bodies, but in many cases the specific interests of aftermarket manufacturers are not being catered for.” To this end, he added, AAMA did not intend to duplicate what NAACAM and the RMI do, but rather to focus on what they do not do, or do not do well. Thus AAMA intended to complement the offerings of these bodies, and to service the unique interests of the aftermarket manufacturers in four specific areas: 1. Strategic Input: A focus on government lobbying and the presenting of a united front, for the good of the local aftermarket industry. 2. Training Support: The establishment of a training academy to serve the interests of the local aftermarket industry, spreading the training net as wide as possible, whilst pooling resources to create training teams that deliver cost effectively. 3. Partinform: The venerable Partinform format continues, promoting local brands and passing on the vital message of quality and safety to all corners of the country via the tried and tested mini-trade show formula – getting face to face with the end users and retail shop employees in the rural areas and emerging markets. A focus on educating the industry on the different quality levels of life and limb parts, and the how, why and what behind parts availability and technical support, will play an increasingly important part of Partinform. 4. Supply Chain Sustainability: A huge opportunity exists in the area of supply chain management and improvement, via a combined approach to areas of common interest. There is tremendous wastage in supply chain costs in many areas:

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inward and outward logistics; customs management, and the need to lobby strongly on commodity prices. At its formative stage, AAMA consisted of thirteen founding members, all who had been accepted on their credentials as being existing Partinform members. For future members, the process is more structured, with an application form to be completed by aspiring members. The entry requirements stipulate that members must be local manufacturers whose route to market is through the traditional channels, and not via vertically integrated distribution. AAMA now stands at sixteen members, with three new members having joined early in 2009.

The inaugural AAMA Executive: Malcolm Perrie, chairman; Murray Long; Norman Bull; Colin Murphy, Partinform chairman. AAMA held its first meeting on 21st January 2009.

The Partinform format is a mixture of glitz, glamour, infotainment, one on one interaction and networking. A formula that works well. In 2009 Partinform introduced the chance to win a Forza Racing Ferrari Track Experience, and this created a new dynamic for the attendees.

Promoting World Class Competencies During September 1997 key stakeholders in the South African automotive industry got together to map out the future. With the impending demise of the Motor Industry Development Programme (MIDP) in 2002 (subsequently revisited, revised and extended to 2012, and reincarnated as the Automotive Production and Development Programme (APDP) in 2008), it was decided that South Africa should enter into the big league of automotive exports, which would require fundamental changes in manufacturing methodologies and mindsets. A detailed study by the CSIR and the Fraunhofer Society in Germany pointed to the requirement of an Engineering Centre of Excellence. Industry, labour and government concurred, and this led to the establishment of the Automotive Industry Development Centre (AIDC) in October 2000, with the vision “to contribute to the establishment of a viable South Africa automotive industry that is competitive both domestically and globally, and which is capable of achieving continuous growth and sustainable job creation.”

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he AIDC works in partnership with business, government, and other involved organisations to invigorate competitiveness improvement within the automotive industry, and its services include supplier development, logistical services, design, engineering, testing services, human resource development, and government support programmes. The founding shareholders were the CSIR and Blue IQ Investment Holdings. Barlow Manilal, managing director of the AIDC since 2008, says that the initiatives implemented by the AIDC over the past nine years have borne fruit in many ways, but the biggest achievement is mostly unseen and difficult to quantify, but without a doubt the AIDC has allowed the South African automotive industry to weather the very difficult times over the 2008/2009 period, and to soften the blow.

While no new assembly plants have been set up in the last ten years, the growing and sustained interest from a number of foreign vehicle assemblers interested in setting up new operations in South Africa continues. Confidence in South Africa has also received a major boost with the relatively recent announcements of export programmes. The introduction of new brands, predominantly from India and China, has had South African consumers benefiting from a model spread of over 1 000 derivatives. South Africa has also established itself as a centre of growth in Africa and is on target to become an increasingly important part of the global automotive industry. South Africa’s track record as a manufacturer and supplier of vehicles and automotive components has been firmly established over recent years. The economic crisis will ease in 2010 and improve beyond that, and when normal business resumes, importance of synergy and collaboration will be more important than ever.”

Strategic Focus of the AIDC Since a strategic review in 2004 the AIDC has focused its activities on three key areas, namely Supply Chain Development, Supplier Development and Skills Development and Training. The AIDC’s strategic focus has been aligned on those issues most critically affecting the competitiveness of the

local automotive industry. The AIDC’s role as an industry support centre has progressed well over the past nine years with the brand realising greater market awareness and positive sentiment, despite operating from a relatively well established profile. Thus, future activities fall within the following key areas: • Supply Chain Development - Moving the INDUSTRY towards global competitiveness • Supplier Development - Moving the ENTERPRISE towards global competitiveness • Skills Development and Training Moving PEOPLE towards global competitiveness.

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Achieving Maximum Productivity Swedish multinational, Atlas Copco, has a long history in the southern African region and is today a leading player in numerous industries, including the automotive aftermarket.

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ccording to Philip Herselman, Business Manager of the Industrial Air Division of Atlas Copco, the company’s products and services are designed to assist its customers to achieve maximum productivity. “This has been an Atlas Copco philosophy since its establishment,” he says, explaining that the company has its roots in the 1947 association between Delfos Limited and Atlas Diesel which evolved into Delfos & Atlas Copco (Pty) Ltd in 1956. The name 'Copco' is derived from Compagnie Pneumatique Commerciale, being the name of a Belgian subsidiary. When Atlas Copco purchased the remaining shares in Delfos, the company's name changed to Atlas Copco SA. Today Atlas Copco enjoys international recognition as a market leader and specialist in the design, manufacture and supply of clean, tailor-made compressed air systems for various applications. “Our objective is remain ‘first in mind – first in choice’ with all our customers and we believe that our combination of product excellence and dedicated staff assist us in achieving this goal,” says Herselman. The company’s relationship with Porsche Centre South Africa clearly illustrates the success of its philosophy. Atlas Copco was selected as the sole supplier of 100% clean, compressed air and nitrogen equipment at Porsche Centre’s new home which incorporates sales, service, body repairs, rebuilds and PD under one roof. It also boasts 40 service bays, two wheel fitment bays, two spray booths, a PDI centre as well as a training centre. The new Porsche premises is one of only a few facilities utilising 100% oil-free compressed air technology, unlike the body repair in-

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dustry in South Africa which operates predominantly with ‘technical’ oil-free compressed air in which filters are used to remove oil in the air lines originating from oil injected screw compressors. Once the differences between these standard ISO 8573-1 Class 1 filters and Atlas Copco’s Class Zero technology were explained, it was an easy decision for Porsche Centre South Africa to install the system - especially when taking into account the risk of oil contamination, particularly in the delicate spray paint processes. At Porsche Centre an Atlas Copco ZT 50 ID VSD Oil Free compressor with a piping ring main consisting of Atlas Copco's AirNet throughout supplies oil-free compressed air to the entire facility. An Atlas Copco GN 7.2 dual output nitrogen compressor supplies nitrogen for tyre installation in the wheel fitment bay. This is the first local AirNet piping installation and a breakthrough for Atlas Copco South Africa. Being appointed sole supplier of clean compressed air for this prestigious project once again affirms Atlas Copco's values of interaction with customers, product innovation and commitment to service excellence which the company has adhered to over the years. “In meeting all our customer's requirements, we supplied a unique, tailor-made solution to realise the high expectations and standards demanded by Porsche in Germany. We’ve also given Porsche Centre South Africa a firm undertaking to maintain and develop this partnership by meeting and even exceeding every expectation for after-sales and service support,” adds Herselman.

Thermal Management Comes of Age If a modern internal combustion engine has one arch-enemy, it is heat and in a country as hot and dusty as ours, thermal management systems have not only ‘kept the wheels rolling’ but have become a standard fitment to new vehicles. South Africa has a proud history of thermal management system development stretching back over six decades, a legacy that has given birth to a truly exceptional partnership between local radiator specialists, Silverton Radiators, and the global leaders in automotive climate control, Behr Hella.

Through the decades Both Behr and Hella are world-renowned companies and both have over 100 years of experience as system partners of the international automotive industry. Providing a wide range of thermal management systems, air conditioning components and electronic products for many of the major vehicle manufacturers and the automotive aftermarket, both companies have been key players in the South African automotive industry for several decades. Silverton Radiators shares much in common with its German partners and although it is now a franchise consisting of 124 automotive cooling system specialist repair and supply outlets throughout Southern Africa, the company originated as the aftermarket division of Silverton Engineering, a manufacturer of copper / brass radiators, established in 1949 in Silverton, Pretoria. During the mid 1960’s the Company opened a number of radiator workshops to service the repair trade. These grew to 46 branches countrywide. By 1970 the aftermarket operation had grown into a substantial business and a separate company with its own management was established under the name Silverton Services. In 1980 the company commenced converting its branches into individually owned franchises under the Silverton Radiator banner.

Across the millennia In 1999 BEHR GmbH (Stuttgart, Germany) bought Silverton Engineering and Silverton Services along with two other companies (formerly FHE Technologies & Connoisseur Air Conditioning), changing all of these into Behr facilities as part

of their worldwide network. These respectively produce copper and aluminium radiators, air conditioning components and exhaust gas reticulators (EGR) primarily for the Original Equipment and Export markets. Behr Service South Africa was established to service the independent aftermarket and act as franchisor to the franchised network of Silverton Radiators. As part of a world-wide joint venture with HELLA KGaA Hueck & Co. (Lippstad, Germany), the company became Behr Hella Service South Africa in 2007. Behr Engine Cooling’s Pretoria factory includes a special aftermarket facility, set up to produce short-run, non-current products on a rapid response basis to meet the aftermarket need for nation-wide replacement parts. Distribution takes place through 6 warehouses located in the major centres which service a network of 124 Silverton Radiators franchised repair shops throughout South Africa and its neighbours.

Into the future Behr Hella Service now also has 41 service partners and distributes a range of aftermarket automotive air conditioning components including refrigerants and lubricants. The combination of home-grown engineering talent and German technological innovation puts Behr Hella Services and Silverton Radiators in a unique position to service the local aftermarket with the widest range of radiators, cores, condensers and air conditioning components which fully comply with international Original Equipment standards set by vehicle manufacturers. Consumers can now travel with confidence knowing they have the world’s best automotive cooling system specialists just around the corner.

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The Power of Three BRAKE HOSE & COMPONENT SUPPLIES The Company started from humble beginnings in 1990 with the purchase of a small company assembling brake hoses for the automotive aftermarket in Pretoria.

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n 1992 CEF in Italy granted the company sole distribution rights for its products in southern Africa. The development of a unique crimping system conforming to international standards and the appointment of small, specialised and well trained distributors throughout SA led to an enormous growth for the company. Having developed a focus on niche brake products Quick Brake in Denmark was approached in 1994 to appoint the company as it’s distributor for specialised small brake products including brake springs, fitment kits, bleed screws, copper nickel brake tube and brake wear sensors. In order to better understand the market it operated in and ensure that it complied with local legislation BHCS joined the RMI in the mid 1990’s and has been an active member ever since, making full use of the benefits this organisation has on offer.The company now has over 420 stockists throughout southern Africa, supplying Automotive aftermarket retail and wholesale outlets, brake repair centres and original equipment manufacturers.

MANIFATTURA GOMMA FINNORD SPA MANUFACTURER OF CEF BRAKE HOSES The origins of the company date back to the early years of the post world war II period, when rubber moulded parts and rubber hoses were produced in a tiny factory in Milan. In 1955, hose production focused on brake hoses and grease hoses sold in bulk form to hose assemblers. In 1964 the company moved into production of complete brake hose assemblies and now produces flexible hydraulic hoses in reinforced rubber and PTFE Stainless Steel, suitable for brakes, clutches and gear boxes. From the 80s onward the company has maintained a steady growth pace through some important achievements, supplying products to countries around the globe, in 1987 it landed its first OEM contract. MGF now entertains long lasting business relationships with vehicle manufacturers and system/module suppliers such as Ford, Iveco, Yamaha, Piaggio, Valeo, Bosch, TI Automotive, Brembo, LUK and Magneti Marelli. The company has projecting capabilities, an R&D Team, internal laboratories, is TUV and AMECA accredited and is ISO 16949 certified. MGF is reorganising its entire organisational structure with the aim to go global and will be opening operations in a number of countries in the near future.

OJD QUICK BRAKE APS

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aving a background in trading with semi-finished products in steel and non-ferrous metals, Mr Otto Johs Detlefs (OJD) founded the company OJD Trading on the 30th October 1971. The idea was to become a sub-supplier to the Danish industry of semi-manufactured products (part components in steel and non-ferrous metals ready for assembly). Parallel with building the company as a sub-supplier to the industry, brake and clutch companies in Denmark were approached with the intent of selling copper tubes in boxes. This is why the brand name is Quick. These were coiled in the cellar of his parents, Curt and Minna Detlefs house near Copenhagen. This was the beginning of the Quick Brake Department. Through out the years OJD Quick Brake became a leading supplier to the global automotive braking aftermarket and OES with brake parts for passenger cars and light commercial vehicles and trades with niche brake component products for the automotive aftermarket. OJD Quick Brake has a complete range of automotive brake parts and accessory kits, brake tubes and brake pad wear sensors.

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Life Begins at 40 From humble beginnings originating in Rhodesia in 1969, Caelex turned 40 years young in 2009, and what a journey it’s been!

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n the same year that Neil Armstrong planted a USA flag on the moon, Chris & Susan Gregoriou established Chris Auto Electrical with only 100 Rhodesian Pounds. In 1972 Johann de Bruyne joined Chris Auto Electrical as an apprentice. In 1976 the Gregorious established Chris Auto Electrical in Pretoria, South Africa, and in 1984 Johann moved to Pretoria as Partner and Managing Director. 1985 saw Chris Auto Electrical become the first company in South Africa to recondition starter motor bendix drives. The company grew apace and in 1991 Chris Auto moved to its present location in which is housed; a Starter/ Alternator rebuild workshop, Bendix rebuilding section, a large rewind department which encompasses machine and welding sections, Diagnostic Workshops, a comprehensively stocked Auto Electrical Store, Counter Sales Area and Workshop Reception. In 1993 Chris Auto Electrical was rated as the largest Auto Electrical Company in South Africa and the only Auto Electrical Company to do all aspects of Auto Electrical related work under one roof. 1995 saw further growth, with the establishment of a branch in Witbank, and the relocation of the Marjon Rewind factory from Bronkhorstspruit to Pretoria West. 1995 also saw the

renaming of Chris Auto Electrical to CAELEX. The company continued to apply the highest standards and to implement stringent Quality Controls and to initiate improvements, such as adopting the Electrolog numbering system to simplify communication between sellers and buyers of CAELEX Auto Electrical products. Innovations continued apace, such as the release in 2005 of the ground breaking RT5551 new generation Voltage Regulator tester, the PSSD2005 Pole Shoe Screwdriver Kits, the PCM / computer friendly litebuddy circuit tester. Caelex was continually looking for ways to improve customer relations and at the end of 2005 they became a Capricorn Preferred Supplier. In 2006, CAELEX hosted the very first Auto Electrical Technology evening, which has grown to become the WATS Show that is hosted in two major centres of South Africa every year. CAELEX established the Kigima Auto Electrical Training Centre in 2007 and in 2008 started carrying out Pre-Trade & Advanced Auto Electrical Courses that includes Diagnostic Scanning & Gas Analysis. To celebrate forty years of quality products and committed service to the auto electrical industry in southern Africa, Caelex released in 2009 the very first comprehensive online Auto Electrical Catalogue & Quotation and Ordering System.

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Tri-Nation Alliance Capricorn Society Limited is one of the largest automotive buying groups in the Southern Hemisphere, established as a co-operative in Australia in 1975 by 12 service station proprietors. The company has now grown to over 12 000 member businesses in three countries: Australia, New Zealand and since 2000 the Republic of South Africa.

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he 12 000 member businesses, estimated to employ over 38 000 people, serviced and repaired over 14 million vehicles using almost R6 billion of products from around 1 300 top name suppliers. Capricorn has a Board of Directors comprising of six member elected member Directors from six different geographic zones and two non-member directors. In 2006 Capricorn converted from a co-operative business under various legislation, to an Australian corporation to allow it to expand its products and services to include some which would not have been possible under the previous structure. Although it changed its corporate structure the new Constitution has enshrined the seven principles of cooperation as per the ICA (International Co-operatives Alliance) within the statutes of the corporation that is now Capricorn Society Limited. In 2003 Capricorn established Capricorn Mutual Limited to provide its members with protection for their business assets (the Mutual provides protection as an alternative to traditional insurance products). For the first five years the management of this business was undertaken by a third party specialist provider. In May 2008 Capricorn brought the management of Capricorn Mutual in house with the establishment of a new entity called Capricorn Mutual Management Pty Ltd. At the same time it also established Capricorn Society Financial Services Pty Ltd which has a joint-venture with UK based Regis Mutual Management Ltd. This joint venture entity, Regis & Partners Pty Ltd, was developed to manage Mutual entities on behalf of other industry groups. Capricorn Society Financial Services Pty Ltd, which is expected to grow substantially over the coming years,

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provides members access to finance products and is a licensed finance broker in its own right. The ‘member helping member’ concept of all co-operatives has meant that the Capricorn model has had to face some tough times over the years, as it counts on its members paying their bills on time. Members who fall behind on payments drains the reserves and burden the members doing the right thing, so all member accounts are closely monitored. Capricorn has built up a strong balance sheet with cash, property and share portfolio assets now over AU$130 million (R900 million) to secure its future. It has 140 staff in three countries with 35% of those in the field, meeting members and suppliers daily to ensure best practice and personal service. The preferred suppliers list to Capricorn reads like a ‘who’s who’ of the automotive parts industry as leading companies recognise the value of being able to underpin their business with a large cross-section of their accounts with a guaranteed payment direct to their bank account from Capricorn. Names like Valvoline, AutoZone, Castrol, First National Battery, and Trentyre plus the local dealerships for all new vehicle franchises and hundreds of smaller specialist suppliers make up an enthusiastic group of parts suppliers who work with Capricorn to offers its members great value and great service . . . the key reason Capricorn overall sales numbers have continued to grow at 10%+ every year for the past number of years. Member purchases in 2008-2009 were AU$851.5M (R5,961M) and it distributed AU$11.1M (R78M) of profits to members through either reward points or a dividend.

Castor Oil Started the Castrol Success Story The Castrol name is derived from its original base component – castor oil – with production of this new lubricant having started in 1909.

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harles Wakefield, the founder of Castrol, launched the company from three small rooms on the third floor of 27 Cannon Street, in the heart of London and it was there, on Thursday, March 9, 1899 that the firm of CC Wakefield & Co opened its doors. The Castrol product name was introduced in 1909, together with the distinctive red, green and white colour scheme that continues to this day. Charles Wakefield worked with pioneering motorists and aviators in his bid to produce the world’s highest quality lubricating oils – and then to improve them. It was natural that Castrol was the oil of choice for breaking world speed and endurance records. The Land Speed Record alone has been broken an amazing 21 times by cars using Castrol lubricants. Wakefield was a pioneer in marketing and his strategy of advertising his products’ record-breaking and racewinning feats put the Castrol name on the map around the world. The company continues to use motor sport and record-breaking to promote the Castrol brand. Many lubricants started out as special developments for motor sport before being made available to everyday motorists. The most famous of these products is GTX, although the unique smell of castor oil based Castrol “R” was synonymous with motor racing for many years and is still made in small quantities for enthusiasts. Castrol was established in South Africa in June 1929 and has now served the

Johannesburg, Durban and Cape Town and spread to Rhodesia (now Zimbabwe) in 1939. During the period of the Second World War, from 1939 to 1945, the first local blending plant was established. In 1945 a branch was opened in Port Elizabeth. In 1951 Wakefield Deusol engine oils for diesel engines were introduced in South Africa. A new blending plant was established at Island View Works in Durban in 1958. Castrol products are still blended in Durban, but it is now carried out by a service provider, Blendcor.

1917

1929

In 1960 the company changed its name to Castrol South Africa. Castrol was acquired by the British petroleum company, Burmah in 1966 and the company was renamed Burmah-Castrol. 1948

1958

1968

1992

local automotive and industrial markets for 80 years. Originally known as the Wakefield Company, the South African operation opened with branches in

1972 also saw the first running of the Castrol Rally, destined to become the most famous rally in South Africa. In 1974 the company’s head office moved from Isando to Parktown in Johannesburg. That same year Castrol acquired Durol Oil, a used oil refining company. This company was taken over by BP Amoco (now renamed BP) in 2000 and Castrol branded lubricants continue to be sold around the world and in many countries it is the market leader. The business is concentrated on automotive lubricants, particularly in the consumer sector, but there is also a strong presence in business markets such as commercial vehicle fleets, marine, aviation and specialised industrial segments.

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Clear vision ahead Windscreens are crucial safety elements in modern vehicles and auto glass installation, replacement and repair are all critical to the maintenance of acceptable driver and passenger protection standards.

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or example, in the case of an accident involving a roll-over or a frontal impact collision, the windscreen represents the first line of defence. An incorrect installation, or repair – with subsequent failure - could result in injury or death.

“This is why our emphasis is on expert workmanship by factory trained technicians and the fitment of quality replacement glass meeting SABS standards,” says Gilo Da Silva, managing director of Commercial Auto Glass, a member of the Commercial Group of companies. “If a vehicle should roll, the windscreen is a major structural component designed to reinforce the vehicle’s roof and prevent it from collapsing on the driver and passengers. The windscreen also acts as a platform to support the airbags. If the windscreen is not installed correctly, the airbag deployment could force it off the vehicle,” he explains.

With branches throughout the country, Commercial Auto Glass outlets are the only SABS approved windscreen fitment centres in South Africa. All glass supplied is shatter-proof, laminated and highly penetration resistant, as specified by the SABS. The glass also meets the highest international standards including ISO 9001, ISO 9002, ISO 9003 and QSV9000, carrying the ‘E’ or ‘DOT’ marks specified by European and American standards authorities. The company has offered a hassle-free solution for trucks, cars, minibus taxis and light delivery vehicles since Commercial

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Auto Glass opened its doors in 1999. From a single outlet, the company has subsequently added a further 10 branches nationwide. Over the past decade the company has grown to become recognised as a preferred supplier of auto glass to the transport industry, supplying solutions to meet the requirements of company fleet managers for tight turn-around times and demanding contractual requirements. Commercial Auto Glass also provides a service to the insurance market which allows for versatility in maintaining continuity within the glass industry. The product range includes glass designed to meet strict OEM standards and other criteria determined by the motor manufacturers in consultation with the insurance companies. Commercial Auto Glass supplies glass – including door and vent glass as well as rear windscreens, together with rubber seals and mouldings - for most local vehicles and many imported models. Its fitment centres are safe and secure, with comfortable waiting rooms for the convenience of owners and drivers. The company also provides a mobile repair service. “All our fitments carry a warranty and customers are provided with a ‘fitment care’ brochure once the requested work has been completed and the installation has been inspected and tested. Using the brochure, which outlines our ‘safety first’ policy, Commercial Auto Glass staff will discuss the need for an appropriate curing time for the windscreen adhesive with the vehicle’s driver or owner,” adds Da Silva.

From F Hoppert to Diesel-Electric, 103 years of service to South Africa The official birthday of Diesel-Electric South Africa is 1951, when Otto Nagel, then in charge of Technical Supplies Company (Pty) Ltd., invited a Mr. L. Schwabe to form the first Diesel-Electric in Cape Town, the name chosen because it typified its product range and activities. Growth into the other provinces and neighbouring territories soon followed, and in 1957 the company achieved a national footprint when Diesel-Electric (Transvaal) (Pty) Ltd took over the distribution and service functions from Technical Supplies in the then Transvaal area.

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owever, this is only half the story, because the roots of Diesel-Electric can be traced back to 1906, when Friedrich Hoppert & Co was contracted to sell Bosch products from Stuttgart, and its branch in Johannesburg sold the first Bosch products in South Africa. Otto Nagel and a Mr HC Boes, who had ties to both Friedrich Hoppert & Co and Robert Bosch Germany, started Technical Supplies in 1946 with a Mr W Weinrich, and they were granted exclusive marketing rights for Bosch products in 1950, thus completing the circle. In 1977, Diesel-Electric Holdings (Pty) Ltd, (DEH) was merged with sister company Robosa Distributors (Pty) Ltd to form Diesel-Electric South Africa (Pty) Ltd (DESA), and in 1983 this company became a wholly owned Bosch subsidiary. Today, this network of independently-owned, Bosch contract partners and franchise holders supplies the needs of Bosch Service Dealers, fleet operators, workshops, Independent Specialist Repairers, garages, franchise dealers, parts shops and chain stores in the southern African market. Diesel-Electric specialises in the automotive fields of electrical, gasoline and diesel fuel injection and general safety and service lines. To this end Diesel-Electric supports, distributes and represents not only Bosch Automotive Products but also a wide range of prestige automotive component brands such as ATE, Beru, Ferodo, Gabriel, GUD, Hella, NGK, Osram, Ram, Sachs, Valvoline, VDO, Zexel and others. The Diesel-Electrics are also involved in Workshop Equipment, representing not only the complete range of Bosch test equipChris Swale Motors in Pinetown, Kwazulu Natal, was the first e-CAR workshop in South Africa, putting up the first e-CAR sign in May 2004

Otto Nagel, who is credited as being the founder of Diesel-Electric

This establishment can with justification be defined as the first Diesel-Electric outlet in South Africa

ment, but also other brand leaders in the field such as Gedore, Hawkins, Wera, and many others. Bosch regional distribution centres in South Africa order their Bosch requirements directly from the Bosch worldwide distribution headquarters at Karlsruhe in Germany, or in the case of locally manufactured products via the Bosch factory in Brits. In 2004, in response to the ever growing car parc and the ever growing need to service cars out of motor plan, Diesel-Electric created e-CAR, throwing a lifeline to independent workshops which had the entrepreneurial spirit, but not the wherewithal to provide 21st century service to the modern motorist. The e-CAR concept was based on a well established European model, and thus the implementation in South Africa was seamless, and today e-CAR is the fastest growing workshop network in South Africa, with 60 members and counting, each with a technical hotline to Bosch.

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DISTRIBUTOR REMANUFACTURERS SA – AUTO ECU

Leaders in Ignition Engineering With an extensive history in motorsport, including a national Formula Vee championship to his credit, together with a mechanical engineering degree, Stan Levin was ideally placed to establish himself in the motor industry.

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fter a stint at Nissan he realised that an in-depth understanding of auto ignition systems – particularly high performance systems finding their way onto racing cars of the mid-1970s - was lacking. “Of course, the ignition systems of those days weren’t the computerised systems of today,” says Levin. “They relied on points and condensers, but I built technically advanced systems that produced more horsepower, which was confirmed on the dynamometer.”

Success on the race track prompted Levin to turn what was basically a hobby into a full-time profession and so Distributor Remanufacturers SA was born. In the late ‘70s the Chrysler Valiant came out with the first electronic ignition system, dubbed SureFire. Levin realised that this represented the future – although many industry watchers of the time said it was a ‘passing phase’. He immediately refocused on the technology and his company’s leadership in ‘ignition engineering’ was established. Today the company is the largest importer of ignition system components in SA. It also manufacturers many components using modern computer numerical controlled (CNC) machines. Expertise in electronic ignition systems led Levin into the world of computerised ignition systems and, using his engineering skills, he began experimenting with engine mapping and related technologies. He built test machinery and established a subsidiary – Auto ECU – specialising in the service exchange of electronic control units for most vehicles.

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Ten years ago son Steven joined the business, followed by other son Simon on completion of his university studies. With their input, the two businesses have grown significantly over time. So much so that the Levins began looking for a new challenge. They formed a new company – Auto Diagnostics – which is able to diagnose electronic faults on most cars in the South African car parc. It also does a significant amount of programming of computer boxes mainly for the auto industry. Among his many contributions to the SA motor industry, Levin lists the inventions of a ‘module tester’ designed to test ignition modules and an ‘ECU tester’ – both patented. “I also hold the patent for a device called ‘Block Mark’ which is able to mark an engine block with an indelible, completely permanent number. Market surveys among companies concerned with stolen vehicle recovery were incredibly positive, but my efforts to sell the concept to the motor industry failed because of its reliance on the replacement of stolen cars to boost sales figures.”

Looking to the future, Levin says the emphasis on computer systems in new motor vehicles will increase. “Therefore we continue to build our expertise in this area, because we realise the hybrid cars, electric cars and even hydrogen cars of tomorrow will be heavily reliant on computer technology.” Notwithstanding these developments, more than 50% of the company’s turnover is centred on distributor repairs and replacement. “It’s a clear indication of the aging of the local car parq and the fact that cash-strapped owners are still relying on oldergeneration cars to keep mobile,” he adds.

DYNAMAX AUTO COMPONENTS

Formidable Combination of Drive, Innovation and Skills From humble beginnings 15 years ago, Dynamax Auto Components has blossomed into a flourishing business whose auto electrical products are today used in hundreds of thousands of passenger and commercial vehicles across the country and overseas.

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ynamax Auto Components, with its premises in Spartan, Kempton Park on the East Rand, is owned by two enterprising entrepreneurs, Antonio Sanchez and Joy Jenkins. Its roots go back to 1964, when Antonio’s grandfather, John Lefkaros, established an auto electrical business under the name of Dynamax Auto Electrical. Antonio and Joy met 15 years ago. At the time, Antonio was learning the auto electrical trade under the tutelage of his grandfather, while Joy was instrumental in supplying products to South African armaments giant Denel through her company, Automatic Repetition. The two subsequently bought out Dynamax Auto Electrical from Antonio’s grandfather and initially rented the premises for their business from him. The right combination of drive, innovation and entrepreneurial skills allowed the partners to investigate the gaps in the auto electrical market and come up with solutions and products to assist their customers. At the time, the copper contacts in Toyota’s HiAce minibus taxis and panel vans were imported, and this gave the fledgling company the opportunity of manufacturing these locally. The partners approached a reputable engineering firm to fabricate the tooling required to press the contacts, and they sold these to wellknown auto electrical distributor Germiston Car Electric/ELPAR.This was

their first product. In the first year, they supplied more than 5 000 units to GCE/ELPAR. Since then, Dynamax Auto Components has produced more than one million units. The manufacturing side of the business was expanded and along with field coils for starter motors, new products related to starter motors were introduced, covering most electrical systems sold in South Africa. At the same time, the company’s client base of reputable auto electrical distributors was expanded on a sole basis, a principle to which they have adhered to this day. By 1998 Dynamax Auto Components was supplying Prestolite Electric (previously Lucas) locally and overseas with field coils and starter repair kits. Demand continued to increase, which necessitated extra space, and in April 2001 Dynamax moved to their present, bigger premises on the East Rand. Through continued investment in the manufacture of their products, the company expanded into armatures, solenoids and Bendix drives. In 2003 the Local Prestolite Elecric operation closed down and the partners saw the opportunity of moving into alternators, having bought out the regulator and rectifier plant from Pretolite and investing substantially in the tooling required. They branched into the supply of the AS123 rectifier and regulator, maintaining the stringent quality and supply chain as used by the OE manufacturer. At the same time the

manufacture of the complete range of Prestolite units for both starter motors and alternators for passenger and heavy commercial vehicles, including tractors, commenced. Today Dynamax Auto Components manufactures complete aftermarket starter motors and alternators (Lucas system), while expanding their range of products to include other electrical systems, such as Bosch, Delco and Japanese brands. Dynamax Auto Components does not supply their products directly to the public, but to the major distributors of auto electric products in South Africa, while they also export to Europe and the USA. Dynamax Auto Components celebrated their 15th anniversary in 2009. “The company is ready to meet the challenges of the future and we are ready to respond to our customers’ needs,” says Antonio Sanchez.

“We are a proudly South African company and are proud of the quality of our products. The success of Dynamax Auto Components is built not only on the loyalty of our customers but, importantly, also on the loyalty, skill and dedication of our employees, many of whom have been with us since the start.”

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Econometrix – road maps for future business Times of sharply weakening economic growth rates following record levels of new vehicle sales after the gold boom of 1980/81 blew itself out, hardly seemed auspicious for launching an economic consultancy. September 1982 saw the establishment of Econometrix Pty Ltd, under the free thinking leadership of its founding Chief Economist, Dr Frank Shostak. The Consulting and support team quickly began to grow, and a year after start-up was joined by one of the company’s earliest industrial clients, Tony Twine who had previously been the Market Research Manager at Datsun/Nissan SA.

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his immediately added a strong set of automotive sector orientated skills to the macro economic forecasting reputation of Econometrix, which was rapidly gaining attention on the back of exchange rate forecasts that foresaw the decimation of the external value of the Rand well before it happened in the middle years of the 1980s. Twine’s notoriety rose just before the January 1985 one-off 54% rise in the petrol price which few had believed could happen, right up to the moment the axe blade fell. At that stage, the Econometrix team was joined by another ex-Nissan man, Ron Dowse, who added both sales skills and consulting inputs before later moving on to become a dealer principal in the retail motor trade.

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A major breakthrough in product development terms occurred in 1989, when WesBank worked with the Econometrix team to build a residual value risk management system, with Econometrix providing the statistical modeling and software environment skills, Mead and McGrouther the data to calculate used vehicle dealer margins, and WesBank providing the financed price data for used cars and distributing the output of the system to its dealmakers on the dealership floors.

Tony Twine

By 1986, Dr Azar Jammine had taken over the Chief Economists position,

Frank Beeton

which he occupies to this day. He and Tony Twine have for a quarter of a century become familiar figures in the manufacturing, vehicle assembly and retail arms of the sector, presenting their views of the economic environment in which the sector is, and will find itself operating in the future. For some years, Lourens Erasmus, who was previously a planner at Spoornet, acted as an Account Executive and transport consultant within Econometrix. Soon after Lourens moved on to join the planning team at Mercedes Benz, Frank Beeton, who had become a consultant after 10 years at Nissan Diesel SA and another earlier decade at General Motors joined forces with the automotive team at Econometrix. His encyclopedic knowledge of the local and global automotive supply industry is a valuable asset for both the team and its clients. Since the inception, Econometrix has provided a periscope for the industry to scan at the ocean of information within which it is. Raw material, component and vehicle suppliers, retail dealer networks, finance houses and insurers have all used the unit’s briefing publications, presentation skills and one-on-one consultation services. Twine and Beeton are sought-after editorial contributors to both industry and general economic publications. They clearly have petrol and diesel in their veins.

Equipment that keeps (us) moving forward Euroquip is one of the relatively new companies on the automotive block. The company distributes high-quality parts to the motoring industry, one of the hardest hit industries in recent times. However, its strength has been highlighted by the fact that despite the closing of a number of established companies during the economic recession, Euroquip is still around, even though the company only opened its doors in 2005. “The recession actually helped us to a certain extent, notes Prakash Bhagwan, director of Euroquip. This is due to the fact that, rather than replacing their motor vehicles during the financial storm, many people chose to weather it and kept their current vehicles for a longer period of time, and instead placed more emphasis on taking care of their car’s parts. “They turned to us for quality products, so we actually grew during the recession,” adds Bhagwan. This is truly a testament to Euroquip’s strength as a company, particularly as a new one. It is not often that when a multitude of businesses are closing down, one that has been open for less than five years actually grows. “Our dedication to high quality products has led to our success,” notes the director. High quality products indeed, as Euroquip only distributes parts renowned for their superiority in the motoring industry. Brands in the company’s stable at present include Valeo, Hella, Ocap and Philips. There will always be challenges with a new business though, but in dealing with these, Euroquip has experienced a number of successes as well. “We have definitely gotten where we want to be in the past four years,” Bhagwan states. “We are a very quality conscious company, and furthermore, we wish to expand in the short and medium-term future.” In fact, over the next five years, Bhagwan says that Euroquip is aiming to become a national organisation with countrywide distribution and coverage. “We really want to go national. Expansion involves a lot of things, and we want to expand our database, we want to develop our client base and we really want to grow our product range in the coming years.

“We provide a personal service, the kind of service people don’t get anymore,” Bhagwan comments. The philosophy of Euroquip, one of great service and unrivalled quality, means that problems are few and far between, and as such the company has managed to grow despite tough times, and will undoubtedly continue to do so. Thanks to Euroquip’s relatively fresh success, it has become clear that the company has a rich future ahead of itself, and one that will help maintain the mobility that South Africa and South Africans rely on so very much. Now that the economy is slowly but surely recovering, Euroquip is destined for great things, and with the right people at the helm, the company’s superlative quality, service and growth will keep South African motorists happy for many more years to come.

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Ferobrake: More than a Century of Service In 1897 Herbert Frood began his experiments into braking materials in a hut in the garden of his house in Coombs near Chapel-en-le-Frith, England, UK. His patent for the improvement of brake blocks was filed in October 1900 and production began at Green Street, Gorton the following year. An increase in trade, largely resulting from a change in sales tactics - approaching the consumer rather than the manufacturer - led to Frood renting Sovereign and Howden Mills in Chapel-en-le-Frith in 1902.

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xperiments in the use of asbestos began in the first decade of the twentieth century and by the outbreak of war in 1914 production of clutch linings and stair treads had started. The use of asbestos in Ferodo Ltd (as the Herbert Frood Company became in 1920) friction products led to the company joining the Turner and Newall Organisation in 1926. Some 41 years later, in 1965 Ferodo South Africa established the brake bonding business known as Ferobrake. In those days it wasn’t limited to the Automotive Industry; in fact a large part of the business was via ships chandlers, providing braking material in the form of Ferodo Woven material to the Marine Industry. Ferobrake also provided services to the Aircraft industry, supplying many of the Ferodo products illustrated in the attached war time advertisement. Ferobrake spread its roots from the shores of Natal (today KwaZulu-Natal), strategically positioned near the Ferodo factory, which was initially in Jacobs and then later Prospecton. During the next 20 years Ferobrake was owned and sold by Turner and Newall no less than twice, and finally, in the mid-eighties was entrusted to an independent group of businessman, many of whom had been running the businesses for many years. Ferobrake was then purchased by another large automotive group, and after a series of acquisitions was renamed CBS, previously a sister company also marketing the Ferodo brand. This latest acquisition, however, took them out of the fold of Ferodo and reluctantly they marketed competitor products. This changed in 1999 when once again the individual branches were sold off, many electing to rename their businesses Ferobrake. Today there are 43 Ferobrake outlets across the length and breadth of South Africa, providing a national footprint unequalled by any competitors. Ferobrake again proudly markets Ferodo Automotive products, and concentrates on providing specialised brake, clutch and prop-shaft services to the heavy duty industry.

Ferobrake can be contacted on www.ferobrake.co.za.

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Getting Exided About Batteries For history buffs, the electric battery provides a rich source of interest, and grist to the mill of intrigue, false starts, contrasting claims and, naturally, amazing technical progress, bringing hope that one day vehicles that are propelled electrically will be as ubiquitous as those powered by the internal combustion engine. The Internet is a rich source of fact and confusion around this subject.

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n 1748, Benjamin Franklin first coined the term “battery” when describing an array of charged glass plates. Luigi Galvani demonstrated the electrical basis of nerve impulses in the 1780s, and this led to Alessandro Volta inventing the first “wet cell battery” in 1800. Whilst this produced a reliable, steady current, it was John F Daniel that improved on its safety with the Daniel cell in 1836. Gustav Plate is credited with the development of the first practical storage lead-acid battery in 1859, but what is really astounding is that 20 years before that, in 1839, William Robert Grove developed the first fuel cell, producing electricity by combining hydrogen and oxygen. 170 years later, our scientists are now frantically attempting to make the fuel cell commercially viable! We could go on and on, but for the purpose of this story and which has huge significance, just one more fact, and that is the establishment of the Electric Storage Battery Co in 1888.

Africa. A significant percentage of all the new motor vehicles sold in this country are fitted with batteries manufactured by FNB and the company is an original equipment supplier to Mercedes-Benz, BMW, Toyota, Nissan, Mitsubishi, Volkswagen and MAN. Another interesting fact is that the majority of locally assembled vehicles exported from South Africa are provided with batteries made by FNB, while the company’s brands also dominate the replacement automotive battery market. In the replacement market, FNB markets its batteries under various brand names, whilst also providing batteries for a variety of distributors’ house brands, with annual production of some 2,2 million units. The Exide brand, which has played a significant role in the history of FNB, has a huge heritage, having been created by the aforementioned Electric Storage Battery Co in 1900, and

The original premises of First National Battery at 6 Buxton Street, East London, in 1931. It survives today as a parts retailer.

Oldham & Son Africa had been producing batteries since 1949 in a factory in Benoni. This is now the current premises of First National Battery. The sign on the factory has been carefully preserved.

In South Africa, our fledgling automotive industry relied mainly on imports of automotive parts for the first 30 years of the twentieth century, but in 1931 a Mr J F Jackson founded The First National Battery Company in East London, South Africa’s first battery manufacturer, and delivered its first shipment of a dozen batteries to motor traders in East London, Stutterheim and King William’s Town. From these humble beginnings, First National Battery (FNB) has grown to become the leading manufacturer and distributor of lead acid batteries for use in automotive and industrial applications in South

finding its way to South Africa, eventually under the custodianship of FNB, who inherited the brand with the merger of Federale Volksbeleggings, Johannesburg Consolidated Investments, Wesco (the investment holding company of the Wessels family) and the Nestadt family from Benoni. Interwoven in all this was Raylite, Chloride, Oldham & Son Africa and Beacon Batteries, which would require a Warren Buffet to fully understand, but suffice to say the Exide brand has had many a day in the sun in the past, and it is about to do a reprise, with FNB restoring this iconic brand to its rightful place in this country.

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Ford Motor Company

Focused on commitment. Dedicated to excellence The Ford Motor Company of Southern Africa (FMCSA) has been an active participant in the South African economy since 1923. It reinvested in SA in November 1994 after disinvesting in 1986 due to it's stance against apartheid. At this point it acquired 45% equity in Samcor from Anglo American Corporation and the employees trust.

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n February 2000 an announcement was made to the effect that Ford Motor Company would be increasing its investment in South Africa by taking a majority shareholding in Samcor and by increasing its shareholding in Ford Credit South Africa to 50%. Today the Ford Motor Company, which is a now a 100% owner of FMCSA, can look back on a long and exciting history of the Ford brand in SA. It began in 1904 with the arrival of the first Ford imported to SA. This was followed by the opening of the first Ford agent, Arkell & Douglass, in Port Elizabeth a year later as interest in the revolutionary ‘horseless’ carriage grew. The port city was the site chosen for Ford’s first local factory which was built at a cost of over one million rand in 1930. A second was added in 1948 – the Neave plant – opened by General Jan Smuts. A number of iconic cars have carried the ‘Ford oval’ branding over the years including the Ford Anglia 105E, launched in 1960 – and the Cortina which arrived two years later. The popularity of the Cortina, spurred by its many competition successes around the globe and in SA, persuaded Ford to open a R9 million plant for the production of this model in 1973. Production ceased only 10 years later after more than 300 000 Cortinas were sold in SA. In 1964 Henry Ford II opened the Struandale Engine Plant in South Africa and four years later local production of the Ford Escort began, taking full advantage of the new engine plant – as did the Capri which landed in dealers’ showrooms in ‘69.

Since the turn of the century, FMCSA has launched a number of models with particular relevance to SA, including the new Ford Bantam, a South African designed half-ton pickup and the Ford Focus – both built in South Africa. Ford recently invested more than R 1.5 billion to expand operations for the production of its next-generation compact pickup truck and the Puma diesel engine in South Africa. Ford’s commitment to the local market is underlined by its focus on the upliftment and development of its workforce through education and training activities. Also in place is an Employee Assistance Programme and an HIV/AIDS Voluntary Counselling and Testing programme for all employees. Today this programme is being used as a benchmark in other countries. In January 2002, Ford was awarded the United States Secretary of State’s Award for Corporate Excellence in the multinational category. This award was established to recognise the important role US businesses play abroad to advance ethical practices and democratic values and by displaying exemplary conduct in overseas operations. The company also provides financial and physical support to a number of worthy organisations which are involved in supporting handicapped people, orphaned children, school feeding schemes and people affected by HIV/AIDS. It continues to promote active participation by all its employees in corporate citizenship projects by providing 16 hours paid leave annually per employee for this purpose. One of FMCSA’s proudest achievements is winning the top award for the best business social investment programme in the American Chamber of Commerce's Stars of Africa Awards programme. This was for the Mazda Wildlife Fund which the company established.

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A head above the rest BMW is a brand that can be likened to a staple food in the South African automotive industry. The brand is an institution the world over, and South Africa is no different. Incidentally though, BMW’s car history in South Africa does not run as deep as some of the German marque’s other local achievements. Given the high-soaring level of the brand’s appeal though, it is appropriate that the first BMW in South Africa (or more accurately, BMW-powered means of transport), was in fact an aeroplane.

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his was in 1927, and BMW has been on the up locally ever since. 1929 saw the first BMW motorcycle come to South Africa, and in 1975 BMW South Africa was established after the full acquisition of Praetor Motors in Rosslyn. The South African plant was the first BMW assembly plant to be established outside of Germany. The Forsdicks dealer network, established by John Forsdick, immediately recognised the potential for BMW’s success in South Africa and became involved in the brand. The McCarthy Group, one of the oldest and most renowned names in South African motoring, were already 100% shareholders in the Forsdicks name at this point, and had been ever since the full acquisition in 1957. Today, BMW Forsdicks has a successful dealer network made up of three branches, namely Sandton, Pinetown and Tygervalley, some of the most highly-rated dealerships in the BMW South Africa stable. In the motoring industry, size does count, and according to Neil Turner, dealer principal of BMW Forsdicks Sandton, “The Pinetown dealership covers an area of 4 000sq metres under roof. Furthermore, the dealership in Tygervalley was the first BMW dealership in South Africa to complete the Quality Management Programme.” The Quality Management Programme, or QMA, is a BMW initiative in which a dealership is audited to ensure that it

Trevor Turner

Neil Turner

matches up to ISO 14001 levels, thereby ensuring that the dealership’s efficiency, facilities and customer service is of the highest standard. “It is an analysis of the dealership’s processes to make the business more customer friendly,” notes Turner. All three dealerships are state-ofthe-art, fully equipped ones that cover new and used sales and service under one roof. The Sandton and Tygervalley dealerships even have off-site BMW panel shops. Neil Turner says, “These are un-

like non dealer-owned BMW-approved panel beaters in that our ones are specifically for BMW customers, under the control and management of the BMW dealerships. We want to make our dealers ‘one-stop shops’ and give customers peace of mind.” He adds that the Pinetown dealership is close to getting its own panel shop too, so that all three dealers will be self-contained units for BMW customers. “The Sandton dealership is coming close to moving to new, bigger premises as well,” Turner adds. It is clear that despite the brands success, BMW Forsdicks is not content with resting on its laurels and wishes to not only maintain its outstanding service and facilities, but to further improve them. “In the coming years, BMW has two main goals,” says Turner. “We want to enhance the customer’s peace of mind through these ‘one-stop BMW shops’ and we want to focus on employment equity.” Employment equity is a massively important area of South African business, and it is encouraging to see a company the likes of BMW Forsdicks placing a lot of emphasis on it. In conclusion, Turner closes with a quote from the father of the high-volume motoring industry, and one that sums up the essence of Forsdicks’ business philosophy:

“Nobody can make you serve customers well – that’s because great service is a choice.” - Henry Ford

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As much a part of SA culture as Braaivleis and Sunny Skies Somewhere in the dusty annals of the South African government lies a strange but colourful inscription. In 1926 someone registered an automotive company in an abandoned wool and hide warehouse in downtown Port Elizabeth, very close to the present day site.

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he act was strange indeed. No one before this day knew what was happening behind the boardedup windows of the old warehouse, yet within days of registering the General Motors Corporation boasted with a 300 strong workforce, previously unknown automation equipment and the capacity for 45 brand new cars daily. And this was only the start. GM’s introduction to South Africa was unique, because when the GM pioneer Nathaniel Tuxbury set foot on local soil the “streets” of Port Elizabeth, Cape Town and even Transvaal was crawling with Buick, Cadillac, Oldsmobile and Chevrolet models. Even bigwigs such as General Jan Smuts could be seen behind the wheel of his favoured Cadillac, the vehicle of choice for heads of state. The reason? GM’s reputation preceded it to such an extent that independent dealers from up north to far south started importing and trading in “cars and trucks from the United States that never say die”. The reputation led to a growing market and by the time Tuxbury and his team set up an official channel for GM vehicles, dealers was already very vocal in their complaints. With Chevrolet leading the charge, dealers were complaining that their stock levels could not keep up with sales demand and that GM would not be able to satisfy their hunger with a mere 45 cars per day. The deep pool of demand for GM-products remained for much of the next five decades, mirroring the situation at home for GM, then already the world’s largest and most influential vehicle manufacturer. In this era, and up until GM decided to leave the country in the height of apartheid in the eighties, GM and its dealers commanded more than a third of the local market. General Motor’s absence in the decade to the General Motors’ classic of yesteryear. The V16-engined Cadillac Sports Phaeton from the 1930s.

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new democracy did little to dampen the taste for its cars, which at this stage was as much a part of South African culture as braaivleis and sunny skies. Dealers grouped under the newly formed Delta Motor Corporation and GM products such as Opel and Isuzu continued to form the basis for the company’s ever expanding dealer footprint. In 1997, soon after the dawn of a new democracy, GM returned with a 49% stake to find, in much the same way as Tuxbury did in the twenties, that GM products was alive and well in South Africa. In this year, the company’s dealers celebrated by announcing that the Isuzu KBrange is the biggest selling bakkie in the country and by the next year, with the introduction of the Opel Corsa Utility, GM also dominated the half-ton segment in the bakkie-loving SA. Business was booming and in 2003 GM completed a transaction that gave it full ownership of the local operations. To mark the occasion Chevrolet, one of the biggest automotive brands in the world and one of the most well known brands in South Africa, made its return. Soon afterwards, in tune with the new look dealer-network and growing demand for the full offering of GM-products, the company announced South Africa would become the manufacturing base for the imposing Hummer H3, which it would build on the same ground as it started in the twenties, yet this time it would be exported across the world. Cadillac soon followed suit and within a decade of returning, dealers were able to offer, as they did even prior to GM’s official presence in 1926, a full range of GM worldwide products. A lot has changed since the days when GM converted a wool warehouse to satisfy local demand, but, now that The General is again one of the biggest vehicle suppliers in South Africa, much have thankfully remained the same. The Cruze is the first of a new family of Chevrolet ‘global’ cars. It was launched in South Africa in 2009.

HARLEY-DAVIDSON DURBAN

Support and Service for Durban’s Harley Owners Rob Saunders has spent almost half of his 30-year motorcycling career on Harley-Davidson machinery, so it made sense for the Durban businessman to take over the local dealership when given the opportunity to do so earlier this year.

“This shop, then called Harley-Davidson 1000 Hills, opened as a sister outlet to Brian Wegerle’s Harley showroom at Gateway about three and a half years ago, and I was involved as a minority shareholder. When Brian died in ‘07 I left the business – I wanted to buy his share but it wasn’t for sale at the time. Then, earlier this year, I spoke to Harley’s representatives again. They offered me an exclusive dealership opportunity in KwaZulu-Natal – the Gateway shop had closed down – and we ended up buying this shop outright.”

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arley-Davidson head office is very particular about who sells their brand, and dictates exactly how the dealerships should be configured, what shopfitting is required, and what products will be sold. “Everything’s been approved already and we’re now a fullyfledged Harley-Davidson and Buell dealership and service centre, known as Harley-Davidson Durban.” Durban is home to the oldest Harley club in the country – the Harley-Davidson Club of South Africa was founded in 1967 and is still going strong. For most of the club’s 42-year history, however, there was no official dealer in the province. A number of people imported the motorcycles unofficially, but it was only in the mid 1990s that the American manufacturer took proper control of the marketing and sale of their products here. Despite this, the iconic American motorcycles have always been extremely popular in KwaZulu-Natal, and Rob estimates that there are around 2000 modern Harleys in and around Durban and Pietermaritzburg, with numerous vintage machines adding to the total. Harley-Davidson sells lifestyles as well as motorcycles, and Rob is working at merging the two local Harley Owners Group (HOG) chapters for Gateway and 1000 Hills into one, known as HOG Durban Chapter. He’s already taken steps to attract customers to his revitalised outlet by expanding his premises to include a pre-owned Harley section – there were previously no trade-ins

accepted or second-hand bikes sold. “We’ve also opened a tyre fitment centre and I now have a technician at work on Saturdays to help the guys with minor maintenance issues – check nuts and bolts, tighten loose mirrors and so on. It’s a free service to the customer so it costs us money, but it’s a benefit that’s exclusive to Harley riders.” Rob says that one thing he hasn’t done is subscribe to the economic recession. “That’s a no-go, and we’re doing well, with sales picking up every month.” One of the shrewdest steps taken by the Harley-Davidson factory over the last few years was to make accessibility to their products much more affordable. “There’s a good spread of prices,” says Rob, “and the entry level machines are a lot more attainable than they were. For somebody looking for a 900cc machine we can supply a Sportster 883 brand new for around R85 000, which is very competitive. Our top-end products go beyond the opposition though, with a top-of-the-range 1800cc machine coming in at R449 000.” So what does the future hold for Harley-Davidson Durban? ”Well, we employ 14 people already, but plan to increase this in the near future. We’re also looking at moving down Fields Hill to be more central.” Ann Saunders and a happy customer

Rob Saunders and staff

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Henkel – a Brand like a Friend Henkel is a trusted name around the world. The company produces a variety of products that generations of consumers have come to rely on. Every day millions of customers in 125 countries place their trust in Henkel brands and solutions. There are innovative products for home care, DIY enthusiasts and craftsmen, body care and cosmetics and superior technologies for industries such as transportation, electronics, packaging, durable and consumer goods.

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ounded by Fritz Henkel in Germany in 1867, Henkel, with headquarters in Dusseldorf, prides itself on products that make people’s lives easier, better and more beautiful. The company’s advertising slogan is “A brand like a friend” and when you consider the diversity of brands, this message rings true. From potato crisp packaging to aerospace technology, its wide variety of adhesive solutions for both consumers and industry – with which the brand is most commonly associated in South Africa – makes Henkel as ubiquitous as the hadeda or the minibus taxi. Henkel’s products, with famous brand names like Loctite, Teroson, Pritt, Persil, Dial and Schwarzkopf, are part of the company’s three operating business divisions: laundry and home care, cosmetics and toiletries, and adhesive technologies.

The company’s success started with a universal detergent in the laundry and home care business sector. Today, the organisation remains under the control of the Henkel family and continues to introduce innovative new products and solutions. One of these, Teroson, already well-established in Europe, will be introduced in South Africa in 2010. Teroson is an internationally recognised specialist in bonding, sealing and corrosion protection of metals and other materials, particularly in the automotive industry. A large part of the company’s business in South Africa is in the automotive sector, where the biggest adhesives business in the world offers a variety of sealing solutions to both the original equipment manufacturers and the aftermarket. The product range includes Loctite, a leading specialist in engineering adhesives worldwide and internationally successful with DIY adhesives, superglues, epoxy adhesives and automotive products.

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Henkel is a preferred partner to all the major OEMs in the South African automotive sector, both in the manufacturing of vehicles (eg seam sealing, panel bonding, glass fitment, sound deadening and noise reduction, underbody sealing, phosphating and e-coating) and in the aftermarket. The company’s current focus is on the aftermarket business and the body repair and panelbeating sector. Vehicle owners are becoming increasingly aware of the benefits of using the same technologies in the repair of their vehicles that went into their original production by the manufacturer. A manufacturing plant in Alberton in Gauteng supplies OEM customers and a there are plans to bring in a new product range manufactured in Heidelberg in Germany in consumable-pack sizes (as opposed to bulk for OEMs). Henkel is a former technical partner of the world championship-winning McLaren Formula One team and currently enjoys a technical partnership with Porsche. Loctite and Teroson technologies are used in the production of Porsche cars. These products are used in both the body and mechanical areas and replace traditional methods of, for example, gasketing and thread lockers. A technical partnership also exists with the organisers of the Dakar Rally and the company is the official supplier of Loctite and Pattex branded products. Henkel South Africa has a strong social investment programme and involves itself in the well-being and upliftment of the community in which it operates. The company has built and funds a home for AIDS orphans, called Tamaho, in the Natalspruit/ Khatlehong area.

The Royal Seal Imperial – majestic, grand, royal; all synonymous with each other, and also the name behind the biggest motor dealership network in South Africa.

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hat is today known as Imperial Holdings, a monolithic, multinational organisation, was born of humble beginnings. The company’s doors opened for business in 1946 under the banner of Barney’s Super Service station, a partnership between Percy Abelkop and Barney Lurie. In 1951 Abelkop bought Lurie’s shares, and four years later the company was offered sub dealerships to sell Pontiac and Vauxhall vehicles, followed by Chrysler in 1962. The Imperial name was adopted in 1964, and March 1971 saw Abelkop hire Bill Lynch, Imperial’s future CEO. May of the same year was when Imperial made the switch from Chrysler to Toyota, after which the company really started to take off. In 1975 Imperial Truck Hire was added to the group’s portfolio, joined four years later by Imperial Car Rental, which is today one of the leading car rental enterprises in the country and operates under the Europcar name. Following this rich history, today Imperial Holdings is a brand so recognised that surveys have indicated such confidence in the name that it is no longer viewed as a brand, but as a seal of quality. Testament to this is the massive rebranding exercise Imperial has launched, one in which the new Imperial brand truly will act as a seal of quality. Imperial has always been a company with an entrepreneurial flair, and its initial forays into car dealerships were so successful that the business now spans numerous industries, from tourism to logistics, car rental to financial services, and auto retail and distribution to dealerships. With this growth, and numerous acquisitions, came the challenges of multiple, fragmented and diverse brands and businesses, compounded with a large staff complement that didn’t

fully comprehend the scope of products and services offered by the group. Imperial is the sum of many businesses, and a binding brand was needed to unite the group with one focused objective – building one brand. “The brand had grown to a great extent,” notes Philip Michaux, CEO of Imperial Holding’s Motor Division. “In total we have close to three hundred dealerships worldwide.” The Imperial name has always stood for quality, so rallying around one brand name offered opportunities to unite businesses and create linkages to build on the positive associations of the Imperial brand. “We definitely view it as a seal of quality,” states Clive Masinga, Executive: Imperial Holdings. The new brand mark took eight months to create, a process that involved intensive research, brand strategy positioning, brand architecture and design. “It’s not an overnight exercise,” comments Masinga. The new mark, called the Imperial Flair, represents Imperial’s entrepreneurial dynamism. The symbol is seen to be in constant motion, symbolising the bridging of Imperial’s past with its future. “It’s a sign of confidence,” adds Michaux. “You’ve got to have confidence in what you offer your customers.” Fast moving, forward thinking; that is Imperial Holding’s slogan, and one that is appropriate to a company that prides itself on its entrepreneurial spirit. “We’re not weighed down by too much bureaucracy,” Michaux says. Imperial is able to deal with the fluidity so characteristic of business today, and it is encouraging that a company with as rich a history as Imperial Holdings is embracing the future and continuing to move with the times. “It’s important,” concludes Michaux, “we’re a long term-player in the motoring industry, and we’re here for the long haul.”

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To the World with Perfection Egyptian-based Kapci Coatings is the largest company producing automotive refinishing products in the Middle East. Currently employing around 1350 people and generating revenues of more than $100 million, Kapci boasts a market that includes Europe, South America, Asia and Africa.

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apci was established in 1985 as a private company devoted to the production of car refinishes. In 1999 the company expanded its horizons and began producing other paint products for parallel markets. Initially, Kapci’s focus was on the production of Nitrocellulose car refinishing products. However, in 1996 it introduced the extremely successful twocomponent Acrylic Polyurethane colour mixing system for this application. Today Kapci produces a wide range of Acrylics, basecoats, clear coats, hardeners, fillers, thinners, putties and primers to suit all spraying conditions. In addition to the unique Kapci Car Refinish system, Kapci also produces a large range of decorative paints and wood finishes. Kapci Coatings operates a paint production plant in Port Said. Its main operation is blending and mixing of raw materials into several types of paints, coatings and wood finish products. The main raw materials are solvents (butyl acetate, ethyl acetate, toluene), pigments, binders and additives. Quality control is an essential and very important function and at the Kapci plant it is performed for every batch in production, and strict specifications are met at each and every stage of the process. The recent award of the international ISO9001 and ISO14001 certification is a testament to the high standards set by the Kapci production facilities. In addition, Kapci Coatings in Egypt have been accredited by TUV to carry out testing to ISO17025 standards. A considerable portion of Kapci’s production is exported to South Africa and its local joint venture partner, Kapci

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shown in the brand for the following reasons: • The extremely high quality of the product in terms of coverage and finish • The very competitive pricing structure for a product of this quality • The diversity of refinish products available within the range, to suit every requirement in this market.

Nizam Ally, Chairman of the board of Kapci Coatings,

Coatings South Africa. This company operates as the sole distributor for Kapci refinish products in the southern African region and has branches in Gauteng, the Cape and KwaZulu-Natal. It has also established a network of 96 sub-distributors covering the southern African region including Malawi, Namibia, Botswana, Mozambique, Zimbabwe, Zambia and Swaziland. Since its establishment here in 2003, significant interest has been

Local body shops already converted to the Kapci brand report that not only has their paint bill been considerably reduced, but the excellent coverage and drying of the paint has speeded up the daily throughput in their workshops - a key benefit in itself. Added to this, the excellent colour support software and marketing aids produced by Kapci have minimised colour searches and helped eliminate colour problems. The company places a significant emphasis on training and is in the process of commissioning a fully-fledged training centre. Here the Kapci team of technical consultants will continue to ensure that not only are the distributor staff competent in terms of the application processes and properties of the paint, but that this knowledge is passed on to body shop personnel, ensuring that the product lives up to it’s potential. Backing its claims, Kapci offers car owners a lifetime warranty on a repair carried out with its products. The warranty gives the assurance that the paint repair will not crack, peel, fade or otherwise degenerate - important considerations when one considers the high cost of motor vehicles today.

McCarthy – a major player with a proud history McCarthy Limited has grown over ten decades to become one of the leading motor retail organisations in South Africa. Its journey passes through two World Wars and several economic highs and lows.

Early Days The roots date back to two small businesses – the Coventry and Birmingham Motor and Cycle Company in Durban and Atkinson’s Motor Garage in Bloemfontein. Both were established in 1910 and entered the burgeoning motor car industry during the Great War. But it was Justin McCarthy who joined the Coventry and Birmingham Motor and Cycle Company as a young accounts clerk that saw the company seal franchises and list on the London and Johannesburg Stock Exchanges in 1936.

Changing Times South Africa revelled in an economic upswing after WWII and, anticipating the changing motor scene, Justin McCarthy approached Atkinson-Oates in Bloemfontein and his Durban rival, Forsdicks, to launch Motor Assemblies, which started assembling Chrysler vehicles in 1948.

A New Era Justin retired in 1957, remaining as chairman, while his younger brother Pat assumed responsibilities as CEO. Justin’s son, Brian, entered the business after completing his studies in the US and in 1963, when Pat retired, the 39-year-old Brian was appointed to the top position. By this time Toyota South Africa was the largest single customer for Motor Assemblies, and in 1964 Brian sold this entity to Dr Albert Wessels, cementing the relationship between McCarthy and Toyota that still prevails today.

McCarthy underwent extensive capital restructuring, disposing of its non-motor interests and returning to a single-minded focus on the core motor and allied financial services business. Under Pretorius’s initiative, McCarthy became a wholly-owned subsidiary of the Bidvest Group in 2004. Record trading figures, sterling financial results, and rapid growth followed.

Today and Tomorrow Today McCarthy has a dealer network of 120 outlets, represents close on 40 different passenger car, commercial vehicle and heavy equipment marques, and sold 75 115 units in the most recent fiscal, despite extremely tough trading conditions. As McCarthy approaches its centenary year in 2010, its history is a reflection of the dedication and commitment of men and women whose efforts have created a legend in the South African motor industry.

“None of these achievements would have been possible without the support of our valued customers, our principals whose brands we represent, and the efficient, driven and principled McCarthy team members, who continue to embody the McCarthy value system of honesty, integrity, ethical behaviour, and total dedication to customer service,” says Pretorius. Four of the close to forty marques represented by McCarthy

Unprecedented Growth The company – now called McCarthy Group Limited – began a journey of unprecedented growth in 1975. Sales soared from R44-m in 1972 to R661-m a decade later, with total assets of R30-m and a staff complement of 5 800. During the 1980s and early 90s, McCarthy diversified and concluded a merger with Prefcor Holdings Limited in 1992 to form McCarthy Retail Limited. This entity became a major player in the mass market, while McCarthy’s motor division, representing all the major marques, continued to deliver sterling results. During 2000 and 2001, under the capable leadership of CEO Brand Pretorius,

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MISA: The Trade Union of Choice In 1929 the Witwatersrand and Pretoria Motor Industry Employees’ Union was started by a group of employees from humble beginnings. Soon, trade unions in other regions were formed and in 1940 they amalgamated into the Motor Industry Employees' Union (MIEU) of SA.

Dana De Villiers, CEO of MISA,

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y 1942, some of MIEU’s greatest achievements were three weeks annual leave for its members, together with tool and overall allowances and a mortality scheme which provided for a £50 grant to the next of kin (later raised to £250).

MIEU also assisted with the formation of the Motor Industry Staff Association (MISA) in 1948 in Bloemfontein. In 2003 the two trade unions merged to strengthen their bargaining power and to ensure better service, benefits, wages and working conditions for all staff.

Today MISA represents 29 000 members and plays a vital role in the Bargaining Council structure not only on behalf of its own members but also on behalf of non-union employees. Its members include qualified artisans, learners/apprentices, sales and administrative staff, and range from dealer principals to junior clerks. For Dana De Villiers, CEO of MISA, the focus - in terms of benefits and service delivery - is always on the members. He says: “The MISA Benefit Fund and Funeral Fund is a benefit that automatically covers all members, with the important difference that payments are made directly to the next of kin upon the death of a member. The MISA benefits do not become assets in the deceased person's estate and thus go a long way to help families when they need it most. More than R60 million has been paid to members and /or dependants since 1985. “We also have labour law practitioners who provide free legal advice and, if necessary, legal defence. We have an enviable success rate, thanks to MISA’s approach that contributes to speedy resolution of disputes.”

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However, De Villiers warns that many of the benefits that have been negotiated since 1929 could be lost unless the motor retail sector addresses the issues that threaten the survival of motor retailers. “There is a big gap between the brand-building expectations of manufacturers and the realities of selling and servicing new and old vehicles in South Africa,” he stresses. “Based on a-million-car-a-year predictions, the dealers have been lumbered with Taj Mahal-type dealerships that are not financially viable, our franchised service centres are priced and geared to fix new cars despite the fact that most cars on our roads are five years or older, we lose many customers to DIY-repairs and 'informal repair centres' because it is becoming too expensive for the man-in-the-street to service vehicles at dealerships. "The decision-makers in the industry must remember it is neither the building nor the logo outside that sells and services the vehicles, keeps customer satisfaction at an acceptable level and builds loyalty. It is the MISA members and other employees who create the relationships with the customers and contribute to the generation of economic value." De Villiers says the 2009 recession caught the motoring retail industry at its most fragmented. “Unless we unite behind pragmatic standards in terms of branding, training and servicing, the industry stands to lose most of the benefits we fought for since 1929. “If we do not address these issues, the next decade could very well see a local motoring retail industry selling and servicing fewer cars, better public transport in the cities and a stronger than ever used-car market,” predicts De Villiers. He adds; “MISA has a proud track record of protecting and advancing the interest of our members, service of the highest order and benefits offering value for money. We will continue to pool the talent and skills in our association to ensure that MISA remains the trade union of choice for all employees and their employers."

TOPCLASS TOPICS

Permatex - 100 Years of Innovation and Leadership in Chemical Tools

TopClass MD, Richard Pinnard

2009 marks Permatex’s 100th year in business. Since 1909, Permatex has been the preferred choice in the USA for chemical tools for motorsports teams, professional automotive technicians, performance buffs, and general automotive do-it-yourselfers. The world is also catching on to the wonderful world of Permatex, and the company now operates in the United States, Canada, Mexico, the UK, and exports products to more than 85 countries around the world. South Africa is one of those fortunate 85 countries, with Permatex products being marketed by Timken SA and distributed by TopClass Automotive.

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ermatex offers a wide range of adhesives, sealants, gasket makers, hand cleaners, lubricants, appearance products, specialty repair kits, and additives, with now over 350 products making over 1 000 SKUs, providing market-specific formulations and application methods for a variety of industries, including automotive, marine, motorcycle, heavy duty, and off highway. The company is constantly working with automakers, parts suppliers, service parts groups, and other aftermarket companies to develop the next generation of service technology. With a pedigree like this, it would not be an overstatement to call Permatex the “Rolls-Royce” of car care products. It all began in 1909 when Constant A Benoit Sr, the founder of the company, designed a shellac to bond bicycle tyres to their rims. In 1915, fate provided an impetus to growth when Mr Benoit attended a 24 hour endurance race at the Sheepshead Bay track near his Brooklyn, New York laboratory. Being of a scientific bent, he observed that many of the cars were forced to make frequent pit stops to replace blown cylinder head gaskets. The mechanic for Ralph DePalma’s car was at his wits end when the car blew its head gasket for the fourth time, and Mr Benoit applied some of his experimental gasket cement and the DePalma car drove the rest of the race without any further gasket problems. On that day, Permatex entered the automotive maintenance chemicals business, and the rest is history. From its Hartford headquarters, Permatex directs a growing global automotive aftermarket enterprise serving North America, the Pacific Rim, South America, Europe, and Africa. Permatex manufacturing plants, distribution centres and offices are strategically located to achieve growth goals and

effectively service customers. TopClass Automotive is part of this global effort and is looking forward to putting Permatex in its rightful place on the South African automotive landscape. If you are a professional automotive technician, or part of a motorsport team, a performance buff, or simply a do-ityourself fanatic, contact TopClass Automotive for more information on the comprehensive range of superb Permatex products. You won’t be sorry.

Richard Pinnard - Mr. P - we kid you not is the official mascot for Permatex product. Here he is seen at the Automechanika South Africa show held in March 2009, flanked by admiring Timken ladies.

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Schaeffler Group A history of exceptional service to the South African auto industry Schaeffler South Africa is the local operation of the giant Schaeffler Group of Germany, which has a world-wide representation in the automotive, industrial and aerospace sectors with its three strong brands, LuK, INA and FAG. The Schaeffler Group produces products as diverse as CVT (continuously variable transmissions), DSG gearboxes, bearings for jet engines and even minute bearings for dentists’ drills.

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chaeffler Group Automotive supplies its components to almost every vehicle manufacturer across the world. The company makes significant investments in research and development to address future challenges. The group-wide advanced quality management system ensures that the highest quality standards are met. The South African company produces and distributes passenger car clutches to international standards from its modern facilities in Port Elizabeth for both local and foreign motor car manufacturers. As an OE supplier, Schaeffler South Africa is also a major player in the supply of product to the Automotive Aftermarket through an approved distribution network. In addition, the local operation assembles FAG wheel bearing kits and provides LuK commercial vehicle clutches. The local range is supplemented by product imported from numerous Schaeffler plants worldwide and includes single bearings for automotive applications and LuK tractor clutches. The marketing of passenger car, commercial vehicle and tractor products across the LuK, INA and FAG brands is handled by the Automotive Aftermarket Head Office in Johannesburg, with customer service being supported by Area Managers in Natal, the Free State, Gauteng, and the Western Cape. In addition, a toll-free hotline (0800 412 106) is maintained during office hours, where any technical issues can be quickly resolved by highly-qualified staff. The history of Schaeffler South Africa goes back to 1963, when a clutch manufacturing company was founded in which Repco of Australia and the Industrial Development Corporation each had an interest of 50%. In 1987 LuK of Germany purchased a 51% interest in the South African company, with the IDC retaining 49% of the shares. Five years later, in 1992, LuK bought out the IDC interest and in that same year the heavy-

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duty clutch plant in Wadeville was acquired. Now LuK South Africa, the company started manufacturing clutch facings in 1998, and it also acquired it first OE export contract – clutch facings for the German car manufacturer Audi. The ever-increasing demand for LuK South Africa’s products necessitated expansion and as a result an 8 000 square metre building was purchased in Port Elizabeth in 2000. Diaphragm manufacture started in 2004. In 2007 the INA/FAG warehouse was also moved to the LuK site in Port Elizabeth. Following the integration of most of the worldwide operations of the Schaeffler Group into one legal unit per country in 2007, LuK South Africa became Schaeffler South Africa (Pty) Limited in 2008. The LuK warehouse in Edenvale, Gauteng, was sold and the Automotive Aftermarket Division was relocated to its present premises in End Street in Johannesburg. The automotive aftermarket requires a constantly evolving product range due to the ever increasing number of models in the South African market. In addition the increasing complexity of modern vehicles requires ongoing revision of how customers, from approved distributors through to the end user are adequately serviced. The Automotive Aftermarket Division of Schaeffler South Africa has increased its capacity in terms of providing technical, product management and administrative assistance to cater for the growing demand for better information, access to a broader range of products and faster turnaround time.

The Prufe of the Pudding What makes a great company? Taking this a little further, what makes a great product? These questions have been asked many times, and there are many answers, some truer than others. What is unquestionable is that time and history play major roles, and what is even more unquestionable is that achievement above the norm defines a company and its products. Ronnie and Bertie Lubner, in their foreword to the PG Group’s coffee table edition titled “PGSI 1897 to 1997 – One Hundred Years”, celebrating a centenary of endeavour; refer to the history of PG as “100 years of entrepreneurial spirit, fortitude and resolve”. The proof of the pudding is in this fabled history and together with the PG Group’s accomplishments from 1897 to 2009 they provide a glimpse of this greatness.

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hatterprufe is part of the PG Group, South Africa’s leading integrated glass business. Shatterprufe was established in Port Elizabeth in 1935 to supply the motor trade and in the same year Pilkington launched Armourplate Glass, also in Port Elizabeth, and these two iconic companies eventually found their way into the PG fold. The PG Group divisions consist of: PFG – Manufacturer of float and patterned glass; Shatterprufe – Manufacturer of automotive glass; Glass South Africa – Distribution of building and automotive glass; PG Glass – retailer of building and automotive glass with a network of installers; Primador – Door and window manufacturer; Llumar – laminate film distributor. Shatterprufe acquired Widney, a manufacturer of sliding windows for vehicles in 1996. Shatterprufe has facilities in Garankuwa, Neave Township (Port Elizabeth), Struandale (Port Elizabeth), and a Durban Assembly Facility. In addition, the Widney facility focuses on transport products for bus and rail, as well as supplying “slider” products for OEM vehicles. Shatterprufe manufactures Laminated and Tempered Automotive glass for passenger vehicles, light, medium and heavy commercials as well as buses and trains, relying on an advanced logistics and distribution network that carries out shipments of in excess of 12000pcs of glass per day - globally. Shatterprufe supplies all seven South African OEMs (BMW, Ford, GM, Mercedes, Nissan/Renault, Toyota & VW) as well as all the local bus manufacturers including MAN and Marcopolo, and exports bus products to companies in the United Kingdom and supplies vehicle glass repair and replacement companies in Europe. Shatterprufe also exports to the USA, South America, the Far East, Australia, rest of Africa and the Middle East. As a supplier to OEMs, Shatterprufe is required to either have a global footprint or a significant technical partnership with a global player. Shatterprufe currently has global technical agreements in place, which will be further enhanced in the years to come. Shatterprufe has an exceptional track record in the automotive industry, being one of a few companies that have supplied OEMs from inception in South Africa. Shatterprufe’s strengths include the ability to produce low volume niche products, a large range of auto glass, quality standards equal to the best in the world, and self-reliance on glass supply.

Shatterprufe maintains the highest global automotive quality standards through a unique combination of automation and personal attention

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Tenneco on Top of the World Global Profile Tenneco is one of the world’s largest designers, manufacturers and distributors of automotive ride control and emission control products for vehicle manufacturers and the aftermarket under its Monroe®, Walker®, Gillet® and Clevite® Elastomer brand names. The company supplies the passenger car, commercial vehicle and industrial vehicle markets and is also active in the two-wheeler market. Tenneco's top ten customers include GM, Ford, VW, DaimlerChrysler, PSA Peugeot Citroen, Toyota Motor Company, Nissan Motor Company and BMW. The company benefits from a balanced customer portfolio and a diverse geographical footprint that enables it to provide its customers with consistent quality, design, engineering, program management, manufacturing and assembly services wherever they are in the world. Emission control products include complete exhaust systems, fabricated manifolds, manifold-converter modules, catalytic converters, mufflers and resonators, diesel particulate filter systems, NOx abatement systems, exhaust heat exchangers, exhaust isolators and hanging systems. Ride control and Elastomer products include shocks and struts, computerised electronic suspension, anti-roll systems, suspension modules, suspension bushings, coil, air and leaf springs, torque rods, engine and body mounts, arms/ bars/links, cabin dampers and seat

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dampers. Tenneco provides coverage of the majority of its emission and ride control products for aftermarket applications.

catalitic converters , diesel particulate filters (DPF) for the major OEMs outside South Africa.

South African Profile

Tenneco has leveraged off its OEM base and international sourcing capabilities by proffering the most extensive and widest range available in South Africa, and offering an extensive three year unlimited mileage warranty for most Monroe ranges and an exclusive five year or 100 000 km warranty on its Reflex range. With Monroe being the world leader in ride control technology and the biggest selling brand worldwide, Monroe RSA has seen huge market share growth during the recent difficult economic period, on the back of high quality shocks which boast the lowest return rate in South Africa.

South Africa was introduced to the world of Tenneco when they acquired Gillet Exhausts in 1994, and a controlling in-

terest in Armstrong Hydraulics in 1997 creating a marriage between the world's and SA's leading manufacturers of ride and emission control products. Gillet Exhausts South Africa are mainly export driven. Domestically Tenneco deals with all of the major motor manufacturers and supplies shock absorbers for the majority of the vehicles that are manufactured locally, due in no small measure to Tenneco’s advanced technology designs and wide acceptance, together with extensive quality accreditations. The Tenneco Emission Control facility provides

The future is bright for Tenneco South Africa, as with the benefit of ISO/TS16949:2002, ISO 14001:2004, OHSAS18001:2007, and Ford Q1 accreditations received from highly acclaimed international institutions, and the move from the MIDP and APDP emphasising value added, Tenneco is well placed to take advantage of the new dynamics in automotive component supply.

Timken Celebrates

77 Years in South Africa

From its humble beginnings in 1932, Timken South Africa has grown and changed along with both South Africa and with The Timken Company. The result is a business culture based on a shared sense of purpose built around pride of product, led today by Chairman Tim Timken and President and CEO Jim Griffith. There is an identity embodied in the Timken name that has stood firm for more than 100 years and which has come to stand for many worthy things: ethical business practices, quality products, innovation and independence of thought.

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he story of The Timken Company started in 1898 when Henry Timken, a 19th century innovator in carriage manufacturing, patented the tapered roller bearing. The following year, he formed a company to produce his innovation. His sons, HH Timken and WR Timken, moved the company to Canton in Ohio in 1901, where it remains today. In 1932, Michael Bruce Urquhart Dewar, the then managing director of the British Timken company pushed the business into South Africa with the creation of British Timken SA in Johannesburg. The company was successful in developing a market, especially for railroad bearings. South African Railways specified Timken bearings when it made a large order for new locomotives and passenger cars. To help fulfil such orders, British Timken established a plant in Benoni in 1951. In 1958 British Timken hired Kendall Brooke, a young South African engineer who graduated to MD and under his guidance the local facility was renamed Timken South Africa (Pty) Ltd following the consolidation of British Timken and The Timken Company in the US. In 1968 the company committed to building a new factory in Benoni to produce AP Bearings and in the 1970s, with the new plant on line, Brooke succeeded in extending his into Zimbabwe, Zambia and Mozambique. Timken’s application engineers began working closely with the designers at Sigma Motor Corporation, and in 1981, Timken bearings were specified for the new Mazda 323s. In 1982, Timken South Africa celebrated the manufacture of its 500 000th AP bearing. 1986 saw the start of a successful partnership between Timken South Africa and the South African Motor Corporation (SAMCOR) with the introduction of the Ford Laser for which Timken bearings were specified. Although local manufacture of automotive sized bearings ceased in 1998 the Benoni site continued to play an important role with the opening of a Railroad Bearing Remanufacturing facility. In the wake of Danie Coetser’s appointment as MD of Timken SA in 2001 came an innovation by the local management team that resulted in small mobile remanufacturing factories being developed. The rail operation in southern Africa was revolutionised with the ability to repair bearings on the customer’s doorstep.

In 2005, Timken South Africa announced its groundbreaking Black Economic Empowerment deal - the first of its kind in the industry. Timken Bearing Services South Africa (Pty) Ltd was formed as a subsidiary of Timken South Africa. TBSSA incorporates the Southern African rail division of Timken South Africa. Bokomoso Investments led by Zandile Jakavula, owns a 26% stake in the company. This year marked the 77th anniversary of Timken in South Africa. This great achievement can be attributed to the joint efforts of the great visionaries that have led the company and the employees that live this vision daily. The company has witnessed many changes in the socio-political environment of South Africa and has worked through the challenging economic environment. This has resulted in very specific focus. Although the economic environment might not improve for another year or so – Timken is in a strong position to take part in any economic improvement. One thing that hasn’t changed however is that Timken has and will continue to manufacture and supply bearings of the highest quality to both the local and export markets and provide outstanding customer service and technical support.

Celebrating Timken’s seventy fifth anniversary in South Africa are: Mr MW Happach, Mr WT Timken and Mr S D Coetser.

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TOPCLASS AUTOMOTIVE BEARING SYSTEMS

The Fusion of Passion and Excellence From early beginnings in unpretentious basement accommodation in Edenvale, east of Johannesburg, TopClass Automotive Bearing Systems has elevated itself to five-star status in the automotive aftermarket arena in the short space of 12 years.

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he company, led by founder and managing director Richard Pinard, is now a force to be reckoned with, distributing bearings and other related products to South Africa’s growing corps of workshops, service centres and parts outlets. Pinard put his 17 years of service with multinational bearing manufacturer SKF to good use, having gained an in-depth knowledge of the market before leaving to start his own business. “After only eight months since we opened our doors TopClass was appointed by the FAG bearing company to assemble and distribute its wheel bearing kits in South Africa,” says Pinard. “Soon after that FAG invited us to join its franchise system, which, at the time, presented an excellent opportunity for TopClass to be relived of the burden of stock holdings and cash flow concerns.” The move opened up new outlets, including the growing Midas organisation as well as AutoParts and AutoZone. “We introduced the brand to Daimler Chrysler, Ford, BMW and other OESs and established excellent relationships which endure to this day,” he says. In 2002 FAG was the subject of a corporate takeover and in its wake Pinard decided to steer TopClass towards independence rather than be shackled to any one supplier. Nevertheless TopClass was soon approached by the BearingMan company and because of the Japanese emphasis in its product portfolio – an attraction for Pinard - a distribution deal was struck. Once again, however, Pinard sacrificed closer ties, in the form of a partial ownership deal crafted by BearingMan, for his hard-won and much-valued independence and in 2007 the organisations parted company.

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TopClass founder and MD Richard Pinard

“Today the majority of the bearings we distribute are from Timken, a reputable American company. We enjoy an excellent relationship – extending to the race tracks and sponsorship of a racing team for which I drive. I am very fortunate to be involved in a business which gives me the opportunity to indulge my passion. Motorsport is an integral part of my life and I believe my enthusiasm for it filters through into my business world which benefits too.” Further broadening its range, TopClass has taken on the distribution of the Permatex brand which has given the company a push into the retail sector. Permatex – also US–based - celebrated its centenary in 2009.

“Bearings are often seen as a ‘grudge purchase’ but Permatex consumables – cleaners, thread lockers, silicone sealants and the like – are perceived differently and we will enjoy the challenge of addressing a new market.” Looking to the future, Pinard says TopClass will build on its strong base and he looks forward to 2010 when he predicts a surge in the aftermarket as many of the new vehicles bought in the boom years of 2005/6 will come out of warranty/ motorplan and find their way into the independent workshops for servicing. On the bearing front there has been a slew of new developments, and the introduction of new technologies. “Our emphasis will be to grow the aftermarket and enhance our profile further. We believe consumers are becoming more discerning in terms of the parts fitted to their vehicles and we’re confident that our quality brands will outperform ‘whitebox’ and other less-than-optimal solutions.” Pinard says TopClass can be expected to expand its product range to address parts associated with disk brakes and suspensions. “There are also opportunities in differential and gearbox repairs and refurbishment - which is another avenue worth exploring,” he adds.

Motor racing is an integral part of Richard Pinard’s life. He is pictured (left) with Timken team mates Bryan Morgan and Hennie Groenewald.

Making Traxx Traxx South Africa Friction Products was established in 1999, and has grown into one of the leading suppliers of brake friction material to the South African automotive market, as well as that of neighbouring countries. Traxx SA is the sole importer and distributor of EMAK brake friction products in South Africa. Traxx’ EMAK range is comprised of brake pads, brake linings and roll linings for both the light and heavy duty sectors of the automotive industry. Traxx SA also supplies brake drums, brake discs and clutches for both sectors of the industry.

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he brake pads and brake linings are sourced from a state-of-theart production facility just outside of Cairo in Egypt. “The EMAK technical team are rated amongst the world’s best, ensuring that our formulations and products are amongst the most advanced in the global market,” states Paul van Rooyen, managing director of Traxx SA. All products supplied by Traxx SA comply with all environmental standards set for the industry. “Traxx SA Friction Products is committed to providing its customers with products and service that will exceed their expectations and requirements in order to achieve a mutually beneficial partnership. This will be accomplished by following our stringent quality objectives as a company culture based on Total Quality Management.” notes Van Rooyen. When competing with some much older, more established and therefore more recognised brands, there are bound to be tough times for relatively new companies. “The recent economic environment has been a test for us,” Van Rooyen says. “It’s always a challenge, but our mission is to

Paul van Rooyen - MD

be the number one supplier of friction products to the South African market.” Despite this though, Traxx SA has still managed to cause some major coups in the industry in recent years. “We have obtained the business of three of the country’s leading OEMs for light duty brake pads in the past five years, and we are currently in talks with one more,” Van Rooyen reveals. “Our current customer base also includes two of the major OEM’s in the heavy duty sector as well as several major transport companies.”

Traxx SA has goals to expand further in the coming years and it is in the process of expanding in both its business segments. Regarding both segments, Van Rooyen remarks, “We’ve been expanding at a phenomenal rate.” Without revealing too much, Van Rooyen adds that new product introductions are key to Traxx’ business. He concludes that “In terms of expansion, we definitely have plans in place.” So as the RMI celebrates its 101st year, Traxx SA SA celebrates its very own milestone, that of its ten year anniversary; an appropriate congruence that highlights the success of the motoring industry in South Africa as well as the success of Traxx SA’s effective business philosophy. “We have exceeded the goals we have set ourselves to achieve” states Van Rooyen. However, he knows that there is always more to be done in the auto industry, and concludes with what could be the company’s mantra: “Product and service quality is of the utmost importance to us. We aim to provide the right product, at the right quality and cost, in the right place, at the right time.”

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VALLY’S AUTO WHOLESALERS “Our main customers today are retail spares and accessories outlets and other wholesalers, fleet owners and many workshops,” says Ficky. “The Company has a staff complement of 30 and carries an enormous range of products, though I don’t think you would find a ’69 Valiant suspension rebuild kit registered on the state-of-the-art computer stock control system.”

In Safe Hands Forced to relocate from Johannesburg because of the restrictions placed on Indian traders, Abdullah Vally started a small retail spares shop in Fountain Lane, Durban in 1968. The shop was strictly retail at first and the product range was small. As most of its customers were taxi owners, spare parts for the fastest selling products were ball joints and tie rod ends.

B

rothers Yousuf and Rafik ’Ficky’ joined the business in 1970. The business relocated to bigger premises in Beatrice Street later that same year. Renting premises meant the company was at the mercy of landlords. To this end, a property in Lorne Street was purchased and the cottage standing on the property was demolished and a most modern 12-storey building was erected. Vally’s Auto Wholesalers occupied the first three floors until 2005 when the business moved to the present bigger premises on the corner of Lorne and Albert Streets. “Starting up a business for a South African Indian was difficult 40 years ago, more especially in the motor spares trade. We were not allowed to join the Motor Industries Federation - now the RMI,” recalls Ficky.

“We had no way of controlling standards, and all Indian traders were lumped together in the minds of the suppliers and the public. We could neither buy directly from factories nor would the wholesalers grant us credit. The fact that we had relocated from Johannesburg meant that we had no track record or family history in Durban which didn’t help much either.”

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Abdullah Vally

Vally’s Auto Wholesalers’ reputation as a trustworthy dealer grew along with their business and the company is today an enormously respected player in the automotive spares industry in KwaZulu-Natal. Ironically, Ficky was elected chairman of the MIF/RMI in the late ‘80s and held the position for almost a decade. Apart from spares and accessories, the Vally family has branched out in another direction.

“We now manufacture lubricants as well,” he says. “We have a plant that processes base oil that we buy from the refinery. We do the blending, mixing and packaging in-house and all our Viking lubricants conform to SABS specifications.” Nearly half a century after it started in a tiny shop in Durban’s Grey Street area, Vally’s Auto Wholesalers is in the safe hands of the next generation of the family.

RAM Belts & Hoses - Standing

Test of Time

Rubber & Associated Manufacturers (RAM) is the automotive division of Veyance Technologies Africa, a specialist company that manufactures and sources quality Goodyear Engineered Products.

I

t wasn’t long after the formation of RAM in 1981 that the company was appointed the sole distributor for Goodyear-branded products in South Africa. As such, RAM was ideally placed to bring to market Goodyear’s Fan & Poly-V Belts, Automotive Timing Belts, Rubber Coolant Hose, Rubber Fuel Line Hose, Heater Hose, Air Brake Hose, Air Conditioning Hose, Air & Multi-purpose Hose, as well as Hose Clamps, Heavy Duty Belts and Air Springs. So successful was RAM that Goodyear decided to purchase the company outright in 1991 and the bold red and black ‘RAM’ logo became synonymous with Goodyear’s wide range of quality offerings. On 1 August 2007, Global private equity firm, The Carlyle Group, closed its purchase of the Engineered Products Division of The Goodyear Tyre & Rubber Company. The transaction was valued at US$1.475 billion. Through a long-term license agreement, Goodyear Engineered Products have continued to carry the Goodyear brand, while the legal name of the company changed to Veyance Technologies, Inc. Colin Preddy, General Manager for RAM (now under the umbrella of Veyance Technologies Africa), says the company’s conduit to the market is - and always has been - primarily through the major national automotive spares outlets and the larger independent spares outlets. RAM also supplies product to export houses for shipment to other parts of the globe. RAM is a major supplier to the local automotive original equipment market (OEM) and many of its products are found on locally manufactured or imported vehicles which form part of manufacturers’ local model line-ups. “As the Automotive Division of Veyance Technologies Africa, RAM understands how important it is for vehicles destined for the South African market to be fitted with dependable, quality Goodyearbranded parts that have been tried and tested under harsh conditions,” he says. “To this end the RAM team remains committed to providing the levels of quality and service that have always set us apart from our competitors. We believe it is our duty to provide a solution rather than simply to supply a product.”

the

Preddy highlights the amount of research and testing undertaken at Veyance Technologies and says the efforts by highly trained and experienced staff are directly linked to the reasons why Goodyear-branded automotive replacement products deliver the ultimate in performance and value. “The brand offers peace of mind for both the supplier or fitment centre and the motorist and so it’s well worth taking a look at the Goodyear catalogue before making a purchasing decision. “For example, you'll often find the belt or hose you need in our extensive automotive and light truck product line-up, including Gatorback Poly-V belts which have been proven in the tough environment of V8 Supercar racing both here in South Africa and the US.”

An engine running Goodyear RAM quality timing belts fan belts and power transmission belts

Preddy adds that RAM’s Timing Belts as well as certain of its Poly-V Belts are sourced from Goodyear Engineered Products plants worldwide. All Fan Belts plus the majority of Poly-V belts are manufactured locally at Goodyear’s factory in Uitenhage - making the company the only local manufacturer of Fan and Poly-V belts. “These belts, which pass the toughest of tests on the race tracks every weekend, are ideally suited to everyday use on the road. This proven, ‘track-to- street technology’ is just one more way we provide products that help our reseller partners to boost their businesses.” Tel: +27 011 248 9443 Fax: +27 086 636 8163 Web: www.goodyearep.co.za

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Z is for Zoom! Zwartkops Raceway, or ‘The Big Z’ as it is colloquially known, is an historic racetrack situated in Pretoria, Gauteng. Zwartkops held its inaugural race on 18 November 1961, and the track has been a landmark ever since. That is not to say there have not been changes though; there have. The days of high-speed, minimalcornering and somewhat simplistic racing are over, and racetracks have had to move with the times.

A

s technology progressed, so did race cars, and thus acceleration, top speed, traction and downforce all improved too. This meant that tracks had to become more technical, which led to many tracks being redesigned. For the sake of modern racing as well as safety requirements, some tracks were slightly altered while some were dramatically revamped, but racetracks of the modern era necessitate more corners, more overtaking opportunities and a more technical approach to racing. All of these changes led to close and exciting races, something Zwartkops Raceway is known for. The old Zwartkops track, two km in length with only three braking points, had to give way in 2001 to the current 2.4 km track that has five braking points and, in the modern day, racing at Zwartkops is better for it.

The Big Z is home to a great number of automotive events, whether it be racing series, advanced driving courses or motorcycle events. One of the many feathers in Zwartkops’ cap is the fact that it hosts International Sports Prototypes (ISP) races. These ISP races include a vast range vehicles from the glory days of race cars, including Porsche 911s, 917s, Lola T70s, Chevrons, Ford GT40s and yet more American V8 muscle in the form of Mustangs, Camaros and Chevrolet Can-Ams. Zwartkops also plays host to some more modern racing series such as Thunderbikes, SuperHatch and SilverCup. Aside from racing series, The Big Z houses the BMW Motorrad Rider Academy, Mercedes-

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Benz Dynamic Driving, Sasol Advanced Driver Programme, Zwartkops Driving Academy Centre and Zwartkops Off-Road Academy. Not a bad resume by any means... It is clear that Zwartkops Raceway places a lot of emphasis on advancing the driving talent in South Africa, and this goal is actually stated in the track’s charter. “Zwartkops is for the development of domestic talent,” the charter states, “and to help put South Africa at the forefront of automotive technology.” Not only is Zwartkops forward thinking in terms of developing talent in South Africa, but in a business sense too. 25% of Zwartkops is owned by a trust for empowerment initiative, while the remainder is owned in part by the Zwartkops Owners Club and private investors. Those at the helm of the track’s management assert some notable achievements, some of which are key in terms of the track’s charter. One of these is saying that Zwartkops is “One of the most advanced and biggest driver training and education centres in Africa.” And all of this lies just off the R55 in Pretoria, at Zwartkops International World of Motoring; The Big Z.

INDEX AAMA

65

KAPCI Coatings

87

AIDC

66

Launch Tech Co

51

Atlas-Copco

67

Lazarus Motor Company

53

AutoZone

39

McCarthy

88

Barloworld

41

Midas

24

Behr-Hella

68

MISA

89

Brake Hose & Component Supplies

69

Moto Health Care

55

Bridgestone

43

Nissan

33

Caelex

70

Permatex

90

Capricorn Society

71

RAM

98

Castrol

72

Rex Diff and Gearbox

57

CI Auto

45

RMI

Commercial Auto Glass

73

RMI Code of Conduct

Diesel-Electric

74

Robert Bosch

9

Distributor Remanufacturers

75

SA Warranties

59

Dynamax Auto Components

76

Schaeffler Group

91

Econometrix

77

Shatterprufe

92

Euroquip

78

Tenneco

93

Federal-Mogul Aftermarket

47

Timken

94

Ferobrake

79

Tonii

36

First National Battery

80

TopClass Automotive

95

Ford Motor Company

81

Toyota

61

Forsdicks BMW

82

Traxx

96

General Motors

83

Vally's Auto

97

Grandmark International

49

Volkwagen SA

63

Harley-Davidson Durban

84

WesBank

19

Henkel

85

Willard

29

Imperial

86

Zwartkops Raceway

99

1 101

Copyright 2009 • Trilogy Publishing • P O Box 102 Wendywood 2144 Republic of South Africa All rights reserved. No part of this book may be reproduced in any form by any electronic or mechanical means, including information storage and retrieval systems, without permission in writing from the publisher, except by a reviewer who may quote brief passages in review. Trilogy and the RMI 101 design are protected by common law in South Africa and in the countries in which they are distributed. Printed in the Republic of South Africa by CTP Book Printers.

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RMI Code of Conduct Accredited members are party to the RMI Consumer Code of Conduct in terms of which the consumer is assured that an accredited member undertakes to: • Sell his/her quality products and services at a fair and reasonable price; • Honour both in letter and in spirit any guarantees applicable to products and services sold by them; • Acknowledges that, should there be a dispute between a consumer/customer and our member which could not be amicably settled at Management level, the consumer/customer has the right to refer such dispute to the RMI for investigation; • RMI's Consumer Services divisions are deployed countrywide; • Professional intervention ensures a proud record of high success rate in dispute resolution. Should you be a registered RMI member but not have your Code of Conduct, please contact Killy Scott 011 886 6300 or [email protected]

RMI Objectives • To promote, protect and encourage the interests of members and the motoring public by setting and maintaining proper standards of service and ethical trading conditions in the industry; • Facilitates the settlement of disputes between members and their employees, members and the motoring public by conciliation/mediation/arbitration; • Regulates relations between members and their employees and/or trade unions and protects and furthers the interests of members in that regard; • Promotes, supports or opposes when necessary, any proposal, legislative or other measures affecting the interests of members; • Affiliated with and participates in the affairs of other bodies sharing common interest with RMI members (i.e. NAAMSA, NAACAM, SABS, DTI, etc.); • To maintain high standards of business ethics and service delivery to the motoring public by members of the RMI, and where necessary provide upliftment programmes to improve the knowledge and professionalism of members.

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