World Eye Reports on Italy's Northwest











©THE JAPAN TIMES
Thursday, June 22, 2000
B4

INDUSTRIAL AND CONSUMER PRODUCTS

Gaining consumer trust through customer satisfaction

"When Italy's local business community and residents talk of Sharp Electronics, I want them to say this is a dedicated, innovative organization, contributing to the culture of people throughout the country. My wish is not profit or a sales figure, but rather to enhance the image of Sharp as the most prestigious in Italy," said Toshimasa Akisato, president of Sharp Electronics (Italia) S.p.A.

By committing itself to these ideals, Sharp derives genuine satisfaction when the company makes a meaningful contribution to society.

ITALY


italy41BB.jpg Toshimasa Akisato, president of Sharp Electronics (Italia) SpA

Established in 1990, the company supplies the Italian market with a diverse range of products, including radio sets, televisions, microwave ovens, electronic calculators, solar cells, electronic organizers, LCD video projectors, Camcorderss, audio-visual equipment and other office technologies.

Sharp's pioneering endeavors have bought forth a constant stream of innovative new products to serve the needs of consumers. And the company continues to strive to open up new fields, working always to fulfil the goals of society.

"Our strengths lie in the consumer mature product, such as televisions and video players. However, competition is getting severe. Many other electronics companies are flooding the market with less reliable, but cheaper products," said Akisato. "We spend a lot of time and energy on our unique innovative technology; there are no limitations to engineering possibilities. This means our products may not be the most economical, but all our customers can be assured of the quality. Creativity promotes progress, and we remain constantly aware of the need to innovate and improve."

It is this desire to accept every challenge with a positive attitude that has led Sharp (Italia) to pierce the corporate market. "Our corporate market is growing very fast. We believe there is a lot of opportunity in this field, and our strong brand name is a tremendous advantage for us. One of the main selling points that we have is that our clients know they are dealing with a high quality, harmonious company, where sincerity and creativity are fundamental to our working ethic," said Akisato.

But Akisato added that his company's lead position in the market is also a reflection of the strong commitment from its Italian workforce. "Compared with other countries I have worked in, I have no hesitation in giving positive feedback. Italian people work very hard. Sharp has nine sales offices in Europe, and once a month we meet and exchange opinions. The Italian operation is one of companies that is shown to be fruitful. The volume of work per employee head is tremendous."

Akisato likens the highly skilled, well-trained staff at Sharp Electronics (Italia) to the Japanese workforce. "Few countries have similar characteristics, but I believe it is easy for the Italian and Japanese business community to understand each other. The reason for their understanding is that both countries are filled with small-and-medium-sized companies. This creates an ambience of entrepreneurship. There is also an admiration of Japanese electronics in Italy, as there is an admiration of Italian fashion and innovation in Japan. This produces a kind of synergy between the two countries, one that is very likeable, and understandable."

With this business philosophy, it is no wonder Sharp Electronics (Italia) is a winner in this industry. By earning the warm heartfelt trust of the Italian people, Sharp will continue to enjoy steady growth and prosperity.

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Sony Italia: leading Italy into the digital age

As a leader in consumer electronics, Sony Italia plays on its image of quality, innovative technology and reliability. However, what often goes unrecognized is the company's ability to do more than distribute goods to the consumer and professional market.

Sony Italia is here to help customers navigate the electronics market. And with their vast experiences and resources, they are committed to giving the most value for money.

Claudio Borroni,president and managing director, Sony Italia

"If you are looking for more than electronic and operational excellence, you've just found it," said Sony's vibrant communications director, Maurizio Ghislandi. "We are the leader in this market, and we loathe and hate half done jobs. This is why we offer a full service in Italy, with the utmost efficiency."

Since its establishment in 1981, Sony Italia has grown exceptionally. It is one of the leading companies in Italy in the consumer and nonconsumer electronics market. Its headquarters, after-sales service center and warehouse are all located in Cinisello Balsamo on the outskirts of Milan.

A representative regional office is located in Rome, while the Sony Italia production site, established in 1983, is based in Roverato in the Trentino region.

"At this site we produce blank audio cassettes and video8 tapes, mainly for export to European countries, but also for Italian demand," explained Rodolfo Galimberti, Sony Italia's marketing director. "But the core of Sony presence in Italy is represented by a network of 226 independent consumer after-sales service centers and 162 sales agents operating throughout the territory."

At the root of Sony's success is innovation. It is common knowledge that Sony established several "first" in electronics with products such as the Walkman, Trinitron TV, CDP, Video8 and most recently minidisc. All such products have achieved worldwide recognition.

"At present we are trying to move from the analogue to the digital market," said Ghislandi. "We have a new product to introduce to the market --the memory stick -- that will enable users to copy a file from the computer, so that it can be downloaded and played on a normal disc. The copyright order is also defended."

He added, "This device is a great bridge for us because it represents the change in our world. This is one of the biggest challenges we have for the future, but we are committed to producing the best products on the market, and our master plan will be successful because we work hard and play hard."

Aside from the quality products, you will find top-quality service backed by committed sales and technical professionals.

"Our staff, some whom rank high on the international stage, know their market well and they have invested in Sony as a leading company for years to come," commented Ghislandi. This can be echoed in the company's president and managing director, Claudio Borroni. Since his inception in January 1994, Sony has experienced encouraging results. He is also the deputy president of the Visual Network Entertainment Europe, Sony Europe.

"But statistics on their own, even good ones, mean very little." continued Ghislandi. "We have to continue the development process and collaborate with institutions, nonprofit organizations and our loyal customers to improve understanding of technologies and enhance the Sony image."

Recognition of the company-customer relationship lies at the very heart of Sony. It is acknowledged that Sony must continue to provide a level of service that goes far beyond the distribution of electronics goods. And this they are pursuing with their emphasis on after sales activities.

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italy43BB.jpg Dr. Sergio Gnutti, president of Eurai Gnutti SpA Brescia: Lombardy's industrial hub

Milan can claim its title as a center of fashion and finance. However, 100 km. to the east, Brescia, Lombardy region's second most populous city, makes up for what elegant Milan may lack in muscle and blue-collar knowhow.

Historically a mining town, the expansive Brescia area has become a hub for a number of industries. Family-owned industrial companies in specialized fields such as machine tools, textile machines and pneumatics components have forged leading market positions for themselves around the world.

A typical example is specialized aluminum producer Eural Gnutti SpA. Located in Rovato, in the outskirts of Brescia, Eural Gnutti SpA is Italy's oldest producer of aluminum. Eural Gnutti is a family-owned business with a long history of producing mechanical parts, ball bearings and brass and other metal-based products. However, in recent years it has specialized entirely in extruded aluminum.

"At present we are trying to grow only by ourselves, organically," said Dr. Sergio Gnutti, the second-generation president of Eural Gnutti SpA. "We have excellent knowhow and it is very difficult to find somebody who can help us improve in this area. Our product is better because we are specialized in what we are doing."

The company's production structure consists of an aluminum semis plant in Rovato and a foundry in nearby Pontevico. The foundry is known for its technology and consistent output of high-quality aluminum. It recently received the ISO 9002.

From this concentrated output, Eural Gnutti serves markets around the world. Its biggest markets are in the United States and in Western Europe particularly Italy and Germany.

Eural Gnutti also keeps a keen eye to the Asian market "We have started our sales in the Far East, but would like to improve." said Gnutti. But accessing the protected Japanese market has been a source of frustration for Eural Gnutti.

"It is difficult to sell in Japan," Gnutti said flat-out. "We know who our ideal customers are in Japan, but the problem is gettingt into the market. Probably if we wanted to give them the material free of charge, they would not take it," he joked.

On a serous note again, Gnutti explained, "Specifically in Asia, we would like to export to Japan and China aluminum for free machining, for use in auto components and other parts that must be light yet durable"

The company plans to persevere, hopefully taking advantage of Japan's easing import restrictions and market protection

"We are investing in the United States because that market is already established. But we would like to invest in the Japanese market because we know they would love our products. We wish the Japanese market to be open to us for mutual benefit," said Gnutti.

Perhaps someday soon, many Japanese cars will have a bit of Brescia, Italy, inside.

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The biggest in a small field

With its Victorian-era houses and narrow winding roads, the quaint mountain town of Vallemosso hardly looks like the seat for the corporate headquarters of a global market-leader.

But like many industries in Italy, small and often family-owned companies dominate the textiles scene. In this environment, the wool yarn manufacturer Zegna Baruffa - Lane Borgosesia is a clear leader.

Alfredo Botto Poala, president, and Dr. Massimiliano Zegna Baruffa, CEO, Zegna Baruffa-Lane Borgosesia SpA

"We are the biggest in a small field, say the company's youthful executives, Massimiliano Zegna Baruffa and Alfredo Botto Paolo. The executives are the fourth-generation heirs of Europe's leading wool yarn producer. The company has markets in more than 50 countries, and a customer base that runs the gamut.

"We supply from the couturier down to the department store. Because we're big, we must have a big customer base," said Baruffa.

Poala added, "We have different kinds of yarns and different service levels for all of our clients. The top designers, for example, only need small quantities but they need personalization --every designer wants his own unique shade of black. On the other side of the spectrum, a department store doesn't really need their own black, but they need massive quantities."

As the company celebrates its 150th anniversary this summer, it can look back on a number of milestones. Of particular note, in 1982, it was the first Italian wool company to enter the Japanese market. Its long-standing relationships in Japan have afforded it with more staying power than many competitors. During market declines in Asia during the late 1990s, Zegna Baruffa actually upped its investment and sales volume in Japan. "We believe in Japan," said Baruffa. "We think that the Japanese can withstand cycles like this. Also, we think we owe them excellent service in rough times like this. This costs us, but we hope that in the long term it will help us maintain our strong relationship."

Although the underlying technology for spinning has changed very little since its origin, Zegna Baruffa is upgrading the technology of its communications network and spinning system. By the end of the year, it hopes to realize its 8 billion lire investment, which will dramatically cut down lead times and delivery times. "We will be able to manage an old business in a modern way." said Baruffa .

Much has changed during the company's history: From the mid-1800s, when Zegna Baruffa workers hiked down from the hills to work at the factory every day, up to the year 2000 with international orders being booked over the Internet.

But one thing has remained constant during this history: the high level of quality. In a patriotic, if somewhat understated tone, Paolo commented. "Quality is taken for granted. We are Italian. We cannot afford not to deliver quality."


BARUFFA
EURAL GNUTTI S.p.A.
www.baruffa.com


www.eural.com


MITSUBISHI ITALIA S.p.A.
SONY
www.mitsuauto.it
www.gocreate.sony.it


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