Logistics maestro sitting pretty
Having weathered the difficult times of economic slowdown, when a slump in investment resulted in lowered demand for Schaefer's upper-shelf products, the company is now well placed to take advantage of improving conditions.
"We are seeing a big change on the previous year," he says of the increased number of inquiries the company has received in the first months of this year. He also adds that the inquiries have been more specific, as companies are less hesitant about committing to large capital expenditure.
And, even as the improving economy and record profit margins are finally bringing about a long-awaited increase in capital spending, Boinski sees other factors as likely to drive up demand for his firm's products. Schaefer provides complete solutions as a general contractor, ranging from racking and shelving systems and conveyors to Warehouse Management System software, all of which are made in-house. That, Boinski asserts, allows it to avoid implementation risks and interface problems, as well as reducing the various costs facing many of its competitors, as all the products constitute part of an integrated whole. Schaefer vends products of the highest quality, which makes for higher prices, although Boinski says that the company has recently become competitive on price at the lower end of its product range too, as steel price rises have been higher in Poland than in the rest of Europe. But while that situation is unsustainable in the longer term, Boinski sees other causes for optimism.
While most of Schaefer's clients are international companies that can afford top-quality warehousing solutions, an increasing number of domestic companies are reaching the point where they can contemplate upgrading their infrastructure. Moreover, EU expansion also means an eastward shift of the continent's logistics network, which should lead to investments in that sector in the near future.
"The rapid growth of the Russian economy is one more optimistic sign," Boinski says, adding that uncertainty in that country makes many investors wary of locating their facilities there. Instead, they are likely to opt for this country - especially its eastern parts.
"As a company present on the market for ten years with offices spread across the country, we are well placed to service these clients," Boinski says. While most of its offices are located in the western and southern regions, Schaefer can provide for the eastern parts from its Warsaw and Kielce offices.
Another expected boost will come from EU structural funds aimed at improving infrastructure in the new member states, which should also increase Schaefer's client base in this country. Boinski gives an example of such projects in the Tri-city area, where both the ports of Gdańsk and Gdynia are planning infrastructure development; Schaefer is eyeing the contract to supply general cargo facilities there, says Boinski.
But while logistics firms usually require less complex systems, manufacturers often choose top-shelf products that few of Schaefer's competitors can offer. That is particularly true of the auto industry, where Schaefer enjoys a strong position. Indeed, it has recently supplied Daimler Chrysler with facilities in Warsaw and in the south-western region of Śląsk. Schaefer has also provided for most of BMW's car-part storage facilities in the country.
Boinski says that investment in the industrial sector is likely to increase as the country follows in the footsteps of the former East Germany, where upward pressure on wages drove labor costs up. This in turn led companies to look for savings through investment in more capital-intensive technologies and processes. Expensive but efficiency-improving, Schaefer's products fall into that category, hence they will likely meet with increased demand.
Boinski sees a general trend toward completely or semi-automated warehousing solutions, offered so far by few companies in the country. Schaefer has installed more than 200 complete solutions throughout the world, with Poland included. The most recent examples include a warehouse for Lek, a Slovenian drug-maker, and an automatic storage system for Huhtamaki, a global producer of paper and plastic cups and wrappings which purchased everything from software to mechanical components for the site.
But an international rival is entering the country in the coming months, which Boinski sees as testimony to the country's attractiveness, showing the growth potential of the market. Although declining to commit himself to an estimate of what that growth could amount to, he is convinced of dynamic growth in the coming years. And Schaefer plans to grow ahead of the market, he adds.
"For now, at least, we are the leader in complete logistics solutions," he says.
The company is spread across several sectors, hence its performance does not depend on the fortunes of a single industry.
"It would be deadly to underestimate the competition," Schaefer president says. "But we have no reason to be afraid."
"We are seeing a big change on the previous year," he says of the increased number of inquiries the company has received in the first months of this year. He also adds that the inquiries have been more specific, as companies are less hesitant about committing to large capital expenditure.
And, even as the improving economy and record profit margins are finally bringing about a long-awaited increase in capital spending, Boinski sees other factors as likely to drive up demand for his firm's products. Schaefer provides complete solutions as a general contractor, ranging from racking and shelving systems and conveyors to Warehouse Management System software, all of which are made in-house. That, Boinski asserts, allows it to avoid implementation risks and interface problems, as well as reducing the various costs facing many of its competitors, as all the products constitute part of an integrated whole. Schaefer vends products of the highest quality, which makes for higher prices, although Boinski says that the company has recently become competitive on price at the lower end of its product range too, as steel price rises have been higher in Poland than in the rest of Europe. But while that situation is unsustainable in the longer term, Boinski sees other causes for optimism.
While most of Schaefer's clients are international companies that can afford top-quality warehousing solutions, an increasing number of domestic companies are reaching the point where they can contemplate upgrading their infrastructure. Moreover, EU expansion also means an eastward shift of the continent's logistics network, which should lead to investments in that sector in the near future.
"The rapid growth of the Russian economy is one more optimistic sign," Boinski says, adding that uncertainty in that country makes many investors wary of locating their facilities there. Instead, they are likely to opt for this country - especially its eastern parts.
"As a company present on the market for ten years with offices spread across the country, we are well placed to service these clients," Boinski says. While most of its offices are located in the western and southern regions, Schaefer can provide for the eastern parts from its Warsaw and Kielce offices.
Another expected boost will come from EU structural funds aimed at improving infrastructure in the new member states, which should also increase Schaefer's client base in this country. Boinski gives an example of such projects in the Tri-city area, where both the ports of Gdańsk and Gdynia are planning infrastructure development; Schaefer is eyeing the contract to supply general cargo facilities there, says Boinski.
But while logistics firms usually require less complex systems, manufacturers often choose top-shelf products that few of Schaefer's competitors can offer. That is particularly true of the auto industry, where Schaefer enjoys a strong position. Indeed, it has recently supplied Daimler Chrysler with facilities in Warsaw and in the south-western region of Śląsk. Schaefer has also provided for most of BMW's car-part storage facilities in the country.
Boinski says that investment in the industrial sector is likely to increase as the country follows in the footsteps of the former East Germany, where upward pressure on wages drove labor costs up. This in turn led companies to look for savings through investment in more capital-intensive technologies and processes. Expensive but efficiency-improving, Schaefer's products fall into that category, hence they will likely meet with increased demand.
Boinski sees a general trend toward completely or semi-automated warehousing solutions, offered so far by few companies in the country. Schaefer has installed more than 200 complete solutions throughout the world, with Poland included. The most recent examples include a warehouse for Lek, a Slovenian drug-maker, and an automatic storage system for Huhtamaki, a global producer of paper and plastic cups and wrappings which purchased everything from software to mechanical components for the site.
But an international rival is entering the country in the coming months, which Boinski sees as testimony to the country's attractiveness, showing the growth potential of the market. Although declining to commit himself to an estimate of what that growth could amount to, he is convinced of dynamic growth in the coming years. And Schaefer plans to grow ahead of the market, he adds.
"For now, at least, we are the leader in complete logistics solutions," he says.
The company is spread across several sectors, hence its performance does not depend on the fortunes of a single industry.
"It would be deadly to underestimate the competition," Schaefer president says. "But we have no reason to be afraid."
