Case: XENON Automation Technology: Cutting Edge Competence as Competitive Strategy

Abstract

XENON Automatisierungstechnik GmbH have been developing and manufacturing machines and plants for automation of production processes for more than 20 years. Customers from the automotive, electronic, photovoltaic and medical technology sector all around the world appreciate the performance and reliability of the customized production plants from XENON. Founded in 1991, XENON won their first innovation award in 1995: “The Big Award of the Medium Sized Businesses”. Since 1995, the special machinery manufacturer regularly received awards for its innovation capabilities. The last important acceptance was received in 2014 with the “Infineon Preferred Supplier Award” and the “Preferred Supplier of Bosch Group” award. XENON are now ranked as one of the leading providers of complex turn-key automation plants in Germany and Europe. Ever since, the company has been characterized by constant growth. Having started in 1991 with only 11 employees and today employing 170 workers, mostly engineers, the company targets high end technologies in automation. Only in 2009 and 2010, during the financial crisis, did the turnover declined temporarily. However the company was able to keep up the number of employees even during these difficult years. Due to their specialized skills, staff was not considered as dispensable. The crisis even gave the chance for XENON to hire talented new engineers and technicians from other companies. Since 2011 the growth rate has been stronger than it has ever been before and in 2014, turnover reached 24 million Euros; more than a doubling in comparison to 2009. This growth would not have been possible without globalization. Growth here included creating subsidiaries in China; firstly in Hong Kong (2009) and later in Suzhou near Shanghai (2013). A subsidiary in Mexico may eventually follow.